Stocks turn higher
Although we are not trading it the S and P 500 has turned in a predicted area close to an established trend line. You can see from the chart that we have been following the ongoing bull run and modeling it as 5 wave Impulsive move, a classic Elliot Wave move higher. The recent pullback fits the pattern exactly and has bounced inside the buying zone, we expect the asset to move to new highs from here.
Although most market commentators are calling for a pullback, we always like to trade against the crowd, we see only upside for this asset at the moment, as a result we remain postive the US dollar and all risk assets, we will be looking to trade this situation in a related asset. We are not trading it for margin reasons, as regular readers know we started early last year with a $50 investment and have traded it to the current position of $556 but that does not allow us to take any indices trades. The orginal $50 idea does not really work anymore with the new ESMA margin restrictions and the broker withdrew our free money bonus when the new rules came into effect. We are continuing with the project and remain determined to trade it to the $100,000 in a reasonable time frame but that time frame has been extended.
RetiredearlyFX is a trading name of the investment company Bagehotsway.
We are not a regulated company but we only sell regulated products.
We are not authorised to give investment advice.
We believe all figures quoted to be accurate but past performance in no way guarantees future performance
Trading FX is high risk and not suitable for everyone.