Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
Peloton 35% CRASH a Lesson of What Happens When One Over Pays for a Loss Making Growth Stock - 1st Dec 21
Stock Market Sentiment Speaks: I Fear For Retirees For The Next 20 Years - 1st Dec 21 t
Will the Anointed Finanical Experts Get It Wrong Again? - 1st Dec 21
Main Differences Between the UK and Canadian Gaming Markets - 1st Dec 21
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - 30th Nov 21
Omicron Covid Wave 4 Impact on Financial Markets - 30th Nov 21
Can You Hear It? That’s the Crowd Booing Gold’s Downturn - 30th Nov 21
Economic and Market Impacts of Omicron Strain Covid 4th Wave - 30th Nov 21
Stock Market Historical Trends Suggest A Strengthening Bullish Trend In December - 30th Nov 21
Crypto Market Analysis: What Trading Will Look Like in 2022 for Novice and Veteran Traders? - 30th Nov 21
Best Stocks for Investing to Profit form the Metaverse and Get Rich - 29th Nov 21
Should You Invest In Real Estate In 2021? - 29th Nov 21
Silver Long-term Trend Analysis - 28th Nov 21
Silver Mining Stocks Fundamentals - 28th Nov 21
Crude Oil Didn’t Like Thanksgiving Turkey This Year - 28th Nov 21
Sheffield First Snow Winter 2021 - Snowballs and Snowmen Fun - 28th Nov 21
Stock Market Investing LESSON - Buying Value - 27th Nov 21
Corsair MP600 NVME M.2 SSD 66% Performance Loss After 6 Months of Use - Benchmark Tests - 27th Nov 21
Stock Maket Trading Lesson - How to REALLY Trade Markets - 26th Nov 21
SILVER Price Trend Analysis - 26th Nov 21
Federal Reserve Asks Americans to Eat Soy “Meat” for Thanksgiving - 26th Nov 21
Is the S&P 500 Topping or Just Consolidating? - 26th Nov 21
Is a Bigger Drop in Gold Price Just Around the Corner? - 26th Nov 21
Financial Stocks ETF Sector XLF Pullback Sets Up A New $43.60 Upside Target - 26th Nov 21
A Couple of Things to Think About Before Buying Shares - 25th Nov 21
UK Best Fixed Rate Tariff Deal is to NOT FIX Gas and Electric Energy Tariffs During Winter 2021-22 - 25th Nov 21
Stock Market Begins it's Year End Seasonal Santa Rally - 24th Nov 21
How Silver Can Conquer $50+ in 2022 - 24th Nov 21
Stock Market Betting on Hawkish Fed - 24th Nov 21
Stock Market Elliott Wave Trend Forecast - 24th Nov 21
Your once-a-year All-Access Financial Markets Analysis Pass - 24th Nov 21
Did Zillow’s $300 million flop prove me wrong? - 24th Nov 21
Now Malaysian Drivers Renew Their Kurnia Car Insurance Online With Fincrew.my - 24th Nov 21
Gold / Silver Ratio - 23rd Nov 21
Stock Market Sentiment Speaks: Can We Get To 5500SPX In 2022? But 4440SPX Comes First - 23rd Nov 21
A Month-to-month breakdown of how Much Money Individuals are Spending on Stocks - 23rd Nov 21
S&P 500: Rallying Tech Stocks vs. Plummeting Oil Stocks - 23rd Nov 21
Like the Latest Bond Flick, the US Dollar Has No Time to Die - 23rd Nov 21
Why BITCOIN NEW ALL TIME HIGH Changes EVERYTHING! - 22nd Nov 21
Cannabis ETF MJ Basing & Volatility Patterns - 22nd Nov 21
The Most Important Lesson Learned from this COVID Pandemic - 22nd Nov 21
Dow Stock Market Trend Analysis - 22nd Nov 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Stock Market October Crash 2017 But Not as the Bears Expected!

Stock-Markets / Stock Market 2017 Oct 24, 2017 - 06:01 PM GMT

By: Nadeem_Walayat

Stock-Markets

OCTOBER the month when the stock market doom merchants are at their most vocal as they focus on the historic apex of the darkest day of the darkest month for stocks of each year, October 19th, this year was the 30th anniversary of the 1987 stock market Black Monday crash that saw the market fall of a cliff, plunging by an unprecedented 22% on one day that few saw coming but ever since many prophesise the repeat of every October. Furthermore this year marks the 9th October of the current stocks bull market that the perma-crowd have been betting against for its duration. Which means that most of the doom merchants will already have gotten the stock market badly wrong for EIGHT OCTOBERS IN A ROW!


So lets see how the 9th October of this bull market is panning out as we leave the 19th of October crash anniversary behind and enter the final week of the GREAT CRASH is COMING month, bearing in mind that a coin toss tends to be right 50% of the time!

Yes, there clearly has been a stock market CRASH during October, but unfortunately for the bears the crash has been to the UPSIDE!

The 3 month chart illustrates that after the market caught its breath during late Summer, it was LIFT OFF time AGAIN!

Whilst the chart for 2017 illustrates just how powerful the bull market has been this year. Unfortunately for many bulls, including me who at the start of the year, after 8 strong years, I failed envisage that the market would be able to put in another strong bull run for 2017, and thus at the time it appeared very plausible that the market would correct by 20% or so during 2017, delivering a good buying opportunity for stock bulls.

As for the 1987 Crash, well for the few who traded it (including myself), then it, and its aftermath provided many valuable investing lessons that are just as valid today as they were 30 years ago! So do watch my video made on the 30th anniversary of the Great Crash to LEARN REAL INVESTING LESSONS, and not the usual garbage produced by those who NEVER TRADED the GREAT CRASH!

The two year chart continues to paint the relentless nature of this great stocks bull market.

The five year chart illustrates what I have been stating since this bull markets inception in March 2009 that this will prove to be one of the greatest bull markets in history, that I expected would go for far longer and far higher than anyone could imagine! And so far the market has more than fulfilled those expectations.

My 1000+ articles and ebook's illustrate my early years view on what what I then termed as being a stocks stealth bull market that most never saw coming given the perma mantra of first a lower top and then a double top that the market subsequently long left behind in a series of new all time highs spanning many years. So do read my early stocks ebook's to learn the mindset of how to be on the RIGHT SIDE OF A BULL MARKET (only requirement a valid email address).

As for what the market will do next, well this does require in-depth analysis as the market does NOT give away easy money, one has to work for it. So do ensure you are subscribed to my youtube channel and free newsletter for notification of this.

Dow Current View

However, I understand many are eager for my view on what the stock market could do next, and so my current view is that the market is EXTREMELY OVERBOUGHT and PRIMED for a correction. This is clearly evident when looking at the MACD indicator. So technically I cannot see who this market can continue higher, despite the fact that we are about to enter the traditionally strongest period of the year in the run up to Christmas. Exactly when, for how long and how deep remains to be determined. But the Dow could easily retrace all the way to below 22,000 which compares against current Dow quote of 23,454. And that is my current view of the stock market, technically extremely overbought implying an imminent correction for a trend that would be is contrary to the seasonal pattern taking the Dow to below 22,000.

Your analyst awaiting a significant deviation from the bull market high to BUY stocks leveraged to the emerging Machine Intelligence and War with China mega-trends.

Source and Comments: http://www.marketoracle.co.uk/Article60574.html

By Nadeem Walayat

http://www.marketoracle.co.uk

Copyright © 2005-2017 Marketoracle.co.uk (Market Oracle Ltd). All rights reserved.

Nadeem Walayat has over 30 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of five ebook's in the The Inflation Mega-Trend and Stocks Stealth Bull Market series that can be downloaded for Free.

Housing Markets Forecast 2014-2018The Stocks Stealth Bull Market 2013 and Beyond EbookThe Stocks Stealth Bull Market Update 2011 EbookThe Interest Rate Mega-Trend EbookThe Inflation Mega-trend Ebook

Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication that presents in-depth analysis from over 1000 experienced analysts on a range of views of the probable direction of the financial markets, thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Nadeem Walayat Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in