Gann Master Cycle update-July 8th 2022

US Indices: $DJIA, $S&P500, $Nasdaq Composite

Introduction

Although the 60 year Gann Master Cycle low has made its low, there are still other cycles, like the 90 year cycle who made a low on July 8th, and the 20 year cycle somewhat later end of July.

Although the cycles can contract, extent and invert it very much looks like the 60 and 90 years cycle lows may be in. The 20 year cycle low is expected on July 24th and looking at the planetary cycles this month the markets this cycle may challenge the recent lows of June 2022. I am giving it a 30% chance that a low is still to come.

In last weeks post I used the Andrews Pitchfork to show that the major indices are possibly trading towards the 50% midpoint of the COVID crash channel.

In below chart you can see the update on the Russell 2000 Index, which is a broad index of the major stocks around the world.

Currently the Russell 2000 is trading below the major VWAPS from COVID 2020 highs and lows but the index managed to get above the VWAP from December 2018 lows and above its 5 day moving average (Blue). The Index slightly moved above the upper trendline on the Andrews Pitchfork.

Past VWAP levels may be acting as support and resistance going forward. So, a more sideways movement may be appropriate going forward. Only above these levels I will become more bullish.

You also may look at the individual stock that e.g. make up the S&P 500. There seem to be still room for a lower low in the top 5. Read my latest post on this here.

The paid subscribers can read further from here on the latest Gann Master Cycle dynamic updates in which we discuss the 60, 49 and 20 years cycles on the DJIA, S&P 500 and Nasdaq Composite.

Hypothetical or simulated performance based on past cycles have many limitations. Cycles can contract, extend and invert. Hence, past performance is no guarantee for the future. Read our disclaimer.