A week ago people were calling for a Black Monday. I thought it was too soon. Largely because the Qs were still inside the box they’d been bouncing around for weeks, and the box had a floor. So the Qs went nowhere on Monday. However, yesterday they got destroyed. The Qs broke out the bottom of the box and SMH hit the target I sent you Tuesday. Friday morning they bounced. But now there’s no more floor. I don’t want to doom and gloom this, but a bounce like this morning is not what a bottom looks like. We need one gap down and then a follow-through, which makes me believe is what we see on Monday. It’s 50/50 right now. One thing in today’s close moves it, and I’ll share it with you. Thursday SMH, the semiconductor ETF, hit my extended target. That’s the spot a measurement says a

Man, what a prediction. What a move. Tuesday I sent you a video on SMH, the semiconductor ETF, and told you two measurements agreed on where it was headed. A bear flag that triggered October 30 and a fib extension, both pointing at the same spot. Today SMH dropped more than 10% and landed right on it. The writing was on the wall. We traded it in The Close and made some bank overnight. If you took it on your own, write in and tell me what you made.   Now the question is what’s next, because we hit the extensions and the fib has nothing left under it. The moving averages are cleared. So I pulled up a third tool, and it shows a zone under here with nothing holding it up. I’m looking for one more big leg. In the video I give you the target, how far

Wednesday’s relief rally in the Qs was a joke. You just know it. I pulled up the Qs yesterday afternoon and before I drew a single line I’m like, I bet you this thing is sitting on a Fibonacci level right now. I’m not fibbing. I see Fibonacci everywhere, and as you guys know I’m from Planet Palm Tree so I’m not even from this world. So I pulled the fib. And there it was… The Qs ran right back up into the spot they broke on Friday and got slapped. Everybody saw the Dow up 3% and called it a bottom. I saw a retest, and there is exactly one level on the Qs that tells you which of us is right. One thing first, and I promise I’ll only say it once. The longer a market consolidates, the more likely it drops. The lower it sits inside that