Stocks Plunged across the board Wednesday, October 10th. They topped on our recent Phi mate turn date October 3rd, and have declined sharply since. Wednesday’s plunge is a small degree wave 3 down move, or part of 3-down. The Bull market from 2015 looks complete, as its wave v-up move looks complete. That wave formed Rising Bearish Wedge patterns to identify the end, as they are termination top patterns. These patterns give downside price targets, which will be the initial downside price targets for the new Bear market. Those downside price targets are 24,000 in the Industrials, 2,600 in the S&P 500 and 6,400 in the NASDAQ 100.
Our intermediate degree Secondary Trend Indicator generated a new Sell signal Wednesday, October 10th. It had triggered a Buy signal on our Phi mate turn date back on July 3rd, 2018, which led to a 212 point rise in the S&P 500. This indicator tracks multi-month trends, and is resistant to the noise of short-term trends. Not good.
