{"id":133918,"date":"2018-09-18T09:30:53","date_gmt":"2018-09-18T13:30:53","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=133918"},"modified":"2018-09-18T07:14:07","modified_gmt":"2018-09-18T11:14:07","slug":"predictive-trading-model-suggests-falling-stock-prices-during-us-elections","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2018\/09\/predictive-trading-model-suggests-falling-stock-prices-during-us-elections\/","title":{"rendered":"Predictive Trading Model Suggests Falling Stock Prices During US Elections"},"content":{"rendered":"
September 18, 2018<\/div>
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By TheTechnicalTraders.com<\/u><\/a><\/strong><\/p>\n

Just in time for what appears to be a potentially massive market price rotation, our researchers have put together this post to highlight what we believe will become a surprise price correction in the US Equities markets.\u00a0 Our team of researchers believes the correlation of our predictive modeling tools, predictive cycle tools, and other indicators are set up for what may become a massive 5~8% price rotation over the next 60 days.<\/p>\n

We were expecting this rotation to start unfolding around mid-September (now) but at this time the technical are still bullish so we are not betting against the market just yet.<\/p>\n

The combination of new US tariffs ($200 Billion about to hit in the China trade war), as well as a combination of technical issues with regards to Technology Stocks and retail expectations, could jolt the market if a correction does take place as our predictive modeling tools suggest.\u00a0 A simple rotation of 2~3% is fairly common in the markets.\u00a0 These predictive modeling solutions are suggesting we are just 4~5 days away from the start of a much bigger correction in the US Equities and Indexes.<\/p>\n

We believe the coming US elections in combination with the other aspects of the global economy are going to drive a downward price correction that many people are not expecting right now. But there is one pocket of stocks that could benefit from this tariff stuff which members or our\u00a0Wealth Building Newsletter\u00a0just got long today!<\/p>\n

Anyway, Let\u2019s take a look at some of our index charts to see how this will likely play out.<\/p>

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This first chart is a Daily ES chart showing our Adaptive Dynamic Learning (ADL) predictive price modeling tool.\u00a0 The YELLOW\/CYAN dashed lines over the price bars and into the future show the highest probable outcome from the ADL predictive modeling analysis.\u00a0 This instance that predicts a 5~6 day price advance before a price peak sets up consisted of 105 unique instances of correlative price data making up this predictive analysis.\u00a0 In other words, 105 unique instances of similar predictive price patterns and predicts future price moves based on the highest likely outcome of all instances of data.<\/p>\n

In this case, the ADL modeling system is suggesting we have about 4~6 more days of moderately higher price activity before a price top\/peak will setup \u2013 prompting a new downward price trend.<\/p>\n

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This ES Weekly ADL price chart correlates with the Daily chart almost perfectly.\u00a0 The Weekly chart predicts one additional week of upward price action before a massive 5~6% price decline drives prices lower.\u00a0 This massive price rotation executes over a 1 to 2-week span before briefly stalling, then an additional price decline of about 2% sets up driving prices to a predicted low near $2670 (-8.58%) on November 1, 2018 (just before the US elections).<\/p>\n

This ADL analysis was generated by 112 unique instances of similar price data and the combined highest probability outcome is shown by the YELLOW and CYAN dashed lines on the chart.\u00a0 Simply put, we have a very high probability of a 5~8% price correction setting up over the next 20+ days in the US Equities markets with a projected bottom setting up near $2670.<\/p>\n

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This last Weekly Transportation Index chart displaying the ADL predictive modeling system paints a very interesting picture when you combine it with the two earlier charts.\u00a0 The Transportation index typically leads the major markets by about 3 to 6 months.\u00a0 We have seen continued upside price advances in the Transportation Index over the past 6 months which leads us to think the US equities markets will continue to push higher overall.\u00a0 Yet, this Weekly ADL predictive modeling chart shows two massive price rotations are likely to unfold before the end of 2018.\u00a0 The first one is set up for a downside price rotation, ending near $10,800, starting the week of September 17, 2018, and lasting about 3~4 weeks.\u00a0 Then, the ADL predicts the Transportation Index will rocket higher, near $11,800, for about 5~6 weeks before falling again to retest the $10,800 lows near early December 2018.<\/p>\n

We believe critical global news and expectations regarding global trade, banking and credit may become the catalysts for these moves.\u00a0 The US is expected to enact over $200 billion in trade tariffs this week with China.\u00a0 We believe the ADL predictive modeling system is capable of identifying these massive price rotations and predicting the future rotations simply because of the massive amounts of data that it is capable of crunching.\u00a0 This Weekly ADL prediction consisted of 112 unique price instances and displays only the highest probable outcome.\u00a0 In other words, our predictive modeling system is suggesting these price moves are likely to happen based on its analysis with a greater than 50% probability.<\/p>\n

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Please pay close attention to our research posts and other articles throughout the end of this year and early into 2019.\u00a0 As we have been attempting to warn our followers, expect increased volatility and wider price rotation throughout the end of this year.<\/p>\n

We expect to find a number of incredible opportunities for our members over the next few months and we have already been incredibly successful throughout this recent price rally.\u00a0 Our ADL systems predicted this upside price move in February of 2018 and we have stuck with it.\u00a0 Now, the ADL is predicting a massive rotation is about to take place \u2013 somewhat similar to February 2018.\u00a0 If you want to learn how to profit from these moves, visit TheTechnicalTraders.com<\/u><\/a><\/strong>\u00a0to learn how we help our members stay ahead of these types of market moves.<\/p>\n

Chris Vermeulen
\nTechnical Traders Ltd.<\/p>\n","protected":false},"excerpt":{"rendered":"

By TheTechnicalTraders.com Just in time for what appears to be a potentially massive market price rotation, our researchers have put together this post to highlight what we believe will become a surprise price correction in the US Equities markets.\u00a0 Our team of researchers believes the correlation of our predictive modeling tools, predictive cycle tools, and […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-133918","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/133918","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=133918"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/133918\/revisions"}],"predecessor-version":[{"id":133919,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/133918\/revisions\/133919"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=133918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=133918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=133918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}