Last time I wrote, I was looking for a top in the stock market early last week near 2130-35 SPX and a 5% drop in silver. We got a 4.5% drop in silver and the stock market topped on Wednesday. Tuesday, May 26, I'm looking for a big drop in silver, perhaps as much as 7.5% and a small drop in the stock market to perhaps 2109/10 SPX.

The 12.5/25 TD low is due Tuesday, so we may see strength from that date into June 1 and new highs in the stock market (near 2140?). From there, we may drop as much as 5% or so into around June 9/10. Mercury Retrograde's mid point is due around June 1 and markets that don't reverse when Mercury goes retrograde (like silver did) usually reverse around this time.

With Jupiter Trine Uranus on June 22, I would expect an 8 TD barn burner rally to new highs. This whole set up reminds me of Dec 5-16 last year and then Dec 16 to the 29th. Silver looks like it is entering another bearish mode and is likely to keep dropping into July 6th, based on Mercury Retrograde.

The charts below explain my thinking (I reserve the right to change my mind).

S&P500 Chart

Silver Chart

The point of market forecasting is to put out a roadmap of possibilities, not to necessarily be right all the time. There is an old saying, "Trade the market, not the forecast". Some of the best traders out there are only right 30-50% of the time. The big difference between those who succeed trading and those who don't is in "recognizing when you are wrong and repositioning". One cannot be afraid to take a loss. Staying in a losing position, hoping it will come back, is a fast track to blowing up an account.

Brad Gudgeon
Editor of The BluStar Market Timer

www.blustarmarkettimer.info

The BluStar Market Timer was rated #1 in the world by Timer Trac in 2014, competing with over 1600 market timers. This occurred despite what the author considered a very difficult year for him. Brad Gudgeon, editor and author of the BluStar Market Timer, is a market veteran of over 30 years. The website is www.blustarmarkettimer.info To view the details more clearly, you may visit our free chart look at www.blustarcharts.weebly.com Copyright 2015. All Rights Reserved

Copyright 2015, BluStar Market Timer. All rights reserved.
Disclaimer: The above information is not intended as investment advice. Market timers can and do make mistakes. The above analysis is believed to be reliable, but we cannot be responsible for losses should they occur as a result of using this information. This article is intended for educational purposes only. Past performance is never a guarantee of future performance.

Brad Gudgeon Archive

Only logged in users are allowed to post comments. Register/ Log in

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2024 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.