Stock Market Outlook entering the Week of October 13th = Downtrend
- ADX Directional Indicators: Downtrend
- Price & Volume Action: Mixed
- Objective Elliott Wave Analysis: Downtrend*
The stock market outlook flips to a downtrend, again with an asterisk.
President Donald Trump outlined the first phase of a deal to end a trade war with China on Friday. The key word is “outlined”. With nothing written or signed, it’s really just a cease-fire in the China trade war.
The U.S. fed also announced it would start growing it’s balance sheet again. The last time we saw this, the intent was to lower long-term interest rates and boost the stock market. We called it Quantitative Easing (QE).
Both the measures are largely symbolic. As always, risk management and capital preservation are keys to surviving of uncertainty like we’re experiencing today.
More commentary after the jump…
Stock Market Outlook – Week of Oct 13th = Downtrend
— $SPX $COMPQ $RUT $DJIA —