Global Stocks Flash Bearish “Look Alike” Patterns
Chris Kimble | Oct 18, 2018 03:17PM ET
Over the past several weeks, I’ve shared several examples of key stock market indexes and indicators hitting long-term resistance. Today, we’ll do the same… but with a much wider lens. We’ll look at 9 different stock market indexes in the developed markets that look concerning.
When a stock or market index hits resistance, it has three possibilities: 1) to break out above resistance 2) to move sideways / consolidate near resistance 3) to turn lower and pullback or correct.
In the 9-pack of charts below, we see a bearish “look-alike” patterns emerging. And in each case, it looks like the given markets are turning lower (point 1).
The markets considered include 6 U.S. indexes and 3 European, including the S&P 500 (SPY), Dow Jones Industrial Average, Nasdaq 100 (NASDAQ:QQQ), Russell 2000 (NYSE:IWM), Mid-Caps Index, Value Line (NASDAQ:VALU) Index, German DAX, French CAC 40 and London’s FTSE 100 It’s a pretty good glimpse at a portion of the developed markets.
If these markets see follow-through selling, investors could be in for a deeper decline.
h3 Growling Bears?/h3
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.