We shy away from making market prognostications as rarely do markets do what most think will happen.
This time, due to the recent movements we are straying from our safe place in order to give you a heads up on our best and most likely very short term market movement that may be coming.
For the record we hope we are wrong, but feel we wanted to give you a heads up on our thoughts – again this is VERY SHORT TERM (unlike us to talk about it) and we will likely not mention it much as, short term to us is usually three years or more ….
Market Expectations – VERY SHORT TERM
We feel is it very likely we will go back and test our recent lows – there are a ton of crazy reasons why this happens, and in our chart we have marked in green arrows prior tests along with our expectations of our next test.
The reasons will likely be an excuse, a headline of some sort, or an outside event that suddenly seems to make markets more concerned (why does momentum change in a sporting event? not always clear) – no matter, our best guess is that we WILL re-test this recent low!
It’s possible we will go farther down than the prior or maybe not as far – either way, it is VERY likely we will go back for a re-test.
Longer term – will not matter at all, just like turbulence on your flight!
Let’s all watch – just like Eagle Scouts’ motto – Now we are prepared!
Have a Great “Ready for the Re-test” Day!
John A. Kvale CFA, CFP
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth