Stock markets in their correction way - GUNNER24 supplies you with the most important turning points and targets

After two weeks of vacation without any media nor internet you start up the crate again to bring yourself up to date leafing through the home newspapers and zapping through the TV you'll realize how sick our world has fallen. Each and every unimportant piece of news is spread abroad, everything is being criticized, everything is “felt” as to be worse and worse and being played up.

Years and decades ago, the prices simply used to fall by 2 or 3% one day, and nobody was taking interest. Nowadays prices fall by 2% because we are turning into the double dip recession or because America has got enormous problems with the balance of trade deficit so they become worried to death thinking the USA is mutating to a third world country. 3% of price loss one day means more and more new lows again and again, everything is going up in smoke – short, short, short....

Hey folks, what we are experiencing is but a correction, a quite normal correction. Not before next week will have shot below 1050 in the S&P 500 we will have to analyze whether there's some truth in the gloom and doom scenarios in the stock market.

In our last analysis on the S&P 500 of 07/25 GUNNER24 forecast a daily target of 1129.

And the same target on weekly level...

The high was at 1129.24. All our longs were covered. A correction is simply due for the moment after a target is met. In this issue I'd like to analyze the length and the depth of that correction.

The situation: By the upswing since the July low an initial impulse of 8 candles had formed. Strong. In the highs of the candles 6+7+8 we have got an ideal bow connection with the blue arc. The week before last the blue arc was tested, then the price marched to the minimum target for that upswing. Several times the price closed within the first double arc thus activating the signal for longer term rising prices until the 2nd double arc. The upper line of the first double arc was hit exactly.

The exact contacts of the price while the blue arc was tested back and the upper line of the first double arc show us that we will be able to rely on this GUNNER24 in the future, as well!

After the break of the 2*1 Gann Angle (and reaching an important target!) the S&P 500 is leading into a correction. The Friday closing price below the 1*1 Gann Angle really implies that prices go on falling on one of both lower Gann Angles. Feasible down targets are 1065 and 1061. That's where (just like in the case of the 1*1 Gann Angle) it is practicable to speculate on a daily reversal candle trading a possible Gann Angle Retracement.

Read here the corresponding rules out of the Complete GUNNER24 Trading and Forecasting Course:

In the actual weekly 2 Candle GUNNER24 Down we see that after the 1129 a correction had to take place. There, the price met the 1*1 Gann Angle that implemented the correction. Since the blue arc was broken on closing price basis the lower line of the first square at 1065 will be the next target (minimum target!). That target corresponds with the target area (1065-1061) in the daily setup.

Our actual 8 candle GUNNER24 Up Setup on weekly basis illustrates how hard it will be to crack the 1130.

The situation: We're working on the assumption that the long term upwards trend was resumed with the July lows. In April, three weeks closed within the 3rd double arc being a main target. That implies higher prices until the end of the year... At the main target a 2 Candle GUNNER24 Down is forming. At the low of the candle blue 1 in the July low, a 5 candle initial impulse started that is being corrected now. To perpetuate the whole scenario that correction must not break the primary Gann Angle. If next week or the week after next closes under 1030 next target will be the 1*2 Gann Angle!

The rebound from 1*1 Gann Angle last week was pretty violent. That fierce rebound makes us suppose that the primary Gann Angle will have to be tested once again to overcome finally the 3rd double arc then. That means 1050!

Besides, that 1*1 Gann Angle. For the last three weeks it couldn't be overcome and it marked the corresponding week highs. From my experience that means three things:

1. In this setup it should never be broken significantly. If we get the year end rally the S&P 500 should be able to work its way upwards with it maximally in case of rallies.  

2. If nevertheless it is broken upwards significantly a monster rally would be released. 

3. The behavior with the last three week highs at the Angle makes us recognize a “kiss of death”... That is why the 1050 on week closing basis must resist! 

NASDAQ-100:

In our last analysis on the NASDAQ-100 of 07/25 GUNNER24 forecast a daily target of 1917:

This is what it's looking like now:

Gold: 

Here, too, we should see the consequences of the expiration week:

The situation: Since the July low a 5 Candle GUNNER24 Up has formed, that is calling straightly at the 2nd double arc. Target for Monday or Tuesday respectively between 1223 and 1228.5. Then the usual forcing down of the gold price should begin. It will be interesting to see how the rebound at the target will turn out. The 8 hour GUNNER24 Setup throws up 1223 as target. The 4 hour setup throws up 1228.5. In the daily GUNNER24 Up Setup undoubtedly the 2*1 Gann Angle is guiding the price and time ascent. In case it is not broken but the 2nd double arc is broken the 1260 will be reality as early as in 2 weeks. Also because of the seasonality, the gold is more likely to fall down to the 1200 again.