2018: LAST WEEK
Over the past five sessions in 2018 the S&P 500 gained 0.02%.
1987: KEY SUPPORT
On Friday, October 16, 1987, the S&P 500 was putting pressure on a key support level that was formed during a recent multi-month consolidation period.
2018: KEY SUPPORT
Unlike the pre-Black-Monday close, the close on Friday, October 19, 2018 was well above a key area of possible support.
Why is the chart above relevant? Because in 1987, the market was in somewhat of a “make or break” posture before the 1987 crash. The present day market has numerous forms of possible support below price as outlined in detail on October 15. Therefore, the 2018 market has secondary forms of possible support above and below the key area of possible support (see chart below).
MORE DETAILS: 1987 VS. 2018
The opening segment of this week’s CCM stock market video takes the 1987 vs. 2018 comparison to another level of factual detail. The video also covers a key signal that has only occurred three times since 1934, comparisons to the 2000/2007 peaks, and reasons to keep an open mind about the stock market forming a bottom in the next 1-2 weeks.
The iShares S&P 500 Index ETF (IVV) fell $4.36 (-1.57%) in premarket trading Tuesday. Year-to-date, IVV has gained 3.58%.
This article is brought to you courtesy of Ciovacco Capital.