After some time, trading signals using TCI technical analysis system are back in the Trading Center. The current TCI signal concerns Dow Jones Industrial and indicates a possible beginning of a mini-bear market. Firstly here is the signal:
INSTRUMENT | TARGET | DURATION | PROBABILITY | STOP LOSS |
Dow Jones Industrial Average (DJIA): 13,982.71 (2/13/2013) |
13.550.00 Bearish |
14-28 Trading Days |
13,850 (80%) 13.550 (60%) 13.050 (40%) |
14,035.00 (Possible indication of a new short bull market) |
TCI Chart on Dow Industrial since 2002
As we have mentioned already in previous signals, one of the greatest advantages of TCI analysis is the visualization of the results. On the following TCI chart from February 1st 2002 to today (2/13/2013) we may observe the point +10% to often signal mini-bear market corrections of 10%. TCI chart is followed by a line chart of Dow Jones Industrial during the same time period (closing prices).
Chart: TCI on Dow Chart & Dow Industrial Line Chart
Trading Center Indicator in Action
In the following table we can see the market activity of Dow Jones Industrial during the recent rally that led Dow at 14,038.97 intraday (2/12/2013). All TCI data after the 13th of February 2013 are not actual, it is a forecast, as TCI is looking forwards. At the 19th and 20th of February TCI forecast a bullish corection and after the 20th of February, the bear market according to TCI will continue maybe even stronger.
Table: TCI on Dow Jones (1/17/13 - 2/13/2013)
Date | Open | High | Low | Close | Volume | Price (%) |
TCI (%) |
12-Feb-13 | 13,971.24 | 14,038.97 | 13,968.94 | 14,018.70 | 1,171,800 | 0.34 | 13.04 |
13-Feb-13 | 14,018.70 | 14,029.35 | 13,945.78 | 13,982.91 | 1,305,200 | -0.26 | 10.65 |
FORECAST | MINI BEAR MARKET | 7.15 | |||||
7.33 | |||||||
6.83 | |||||||
UPWARD CORRECTION | 7.25 | ||||||
7.71 | |||||||
MINI BEAR MARKET | 7.11 | ||||||
6.21 | |||||||
5.93 |
The Global Environment at a Glance
In the first months of 2013, the major stock markets around the world are running too fast. The financial crisis in Europe is not over yet and growth on Eurozone is expected in 2014 and afterward. From the other hand, the US economy is on a better condition but growth isn't yet strong, given the government strong liquidity measures. China is doing better but the inflationary concerns about China's economy are significant. It seems that we are certainly in a better position than 2 or 3 years ago but is it the right time for new historical record prices? If it isn't then a bear market movement with a duration of some weeks is absolutely normal to happen.
□ Giorgos Protonotarios, for Trading Center (February, 14th 2013)
L MORE RESOURCES • COMPARE • PAIRS
□ Forex Brokers Comparison
□ Expert Advisors (EAs)
□ Fx Seasonality Calendar
□ TCI Forex Trade Signals
□ Reviews
» EURUSD
» GBPUSD
» USDJPY
» USDCHF
» USDCAD
» AUDUSD