Stock Market forecast 2022

Dow Jones Index monthly

American Stock Exchange today Dow Jones Index

American Stock Market today Dow Jones Future forecasts in the short and long term through the economic cycles of W.D. Gann.

Dow Jones historical chart

Wall Street today

Following the expiration of the weekly Set Up of June 16, 2022, the Dow Jones Index has gradually reversed the directionality of the short-term trend from negative to positive.

In particular, after the departure of the Natural Square on 15 July, the American Stock Exchange made a double low, from which a strong bullish phase began which brought the quotations on the angular resistances 1×2 (vectors in yellow) and 1×4 descendants (vectors in color viola).

As you can see on the graph just above, the positive returns once reached the area of ​​33,770 began to fade.

With the expiration of the Maximum Square in the week of August 26, the trend of the US Index has reversed directionality.

Dow Jones Index has reached 1×4 angular support in the 31.050 area and is attempting a rebound towards new resistances.

The next temporal cycle coincides with the deadline of two close weeks, i.e. 16-23 September 2022.

It will be in this period that we will be able to understand more clearly whether the dynamics will carry out a robust or only momentary rebound.

The return below 31.015 will indicate the new weakness of the Dow Jones.

Upcoming resistances in the 32,320 area; 32,800. Supports in area 30,500; 30,100.

Wall Street mid-term Future

Since September 2021, the natural returns of Dow Jones Index have begun to move away from their natural Drift or 1×1 angle to create a positive lateral phase on the 1×1 vector radiated in red, which forms the intermediate base of the ascending corridor.

With the expiry of the Natural Squares in February-March 2022, the American Index changed the correlation of returns from positive to negative.

The correction of the prices, however, did not show obvious imbalances in the price-time, given that in July the prices were in the expected area of ​​the 1×1 angle, irradiated with the red vector at 30,143.

The next monthly Set Up coincides with the month of September and it is very likely that in the coming months there will be greater imbalances in price/time.

In the initial phase of this month we have seen a negative break compared to the previous low, testifying that the angular support in the 30.750 area will not be very effective in the future.

However, we will still have to wait until the end of September to understand with greater certainty whether the corrective dynamics will undergo a new acceleration until the next time cycle.

Dynamic supports in area 28,800; 27,350.

In fact, the return of prices above 34,310 will indicate the birth of a pull-back.

However, the first resistances at 32,300 and 32,800 will hinder the birth of a new upward phase.

Long-term New York Stock Exchange

With the formation of a bearish out-side in the first quarter of 2022 and the subsequent bearish break in the Set Up quaterly expiration in June 2022, the US market indicated a clear negative reversal of the long-term trend.

The supports stand at 27,680; 23,500.

Only the return above 35,550 points will indicate the birth of a new bullish phase in returns; dynamic resistances at 34,160.

New York Future trading signals

William Delbert Gann was one of the first economists to represent stock market prices in three dimensions: price, time and volume.

Unlike other researchers, he focused his studies in particular on the temporal dimension, as he said in many of his texts, “this was the most important and the other dimensions lay upon it”.

By doing hundreds of tests, he discovered different evolutionary temporal cycles of the financial markets which he divided into Natural and Dynamic.

Within these temporal cycles, he identified particular sections in which the price-time dimension, represented with a linear mathematical geometric model, had a greater influence on the evolution of the trend:

in practice it could accelerate, reverse or lateralize it significantly.

It is on the basis of these sections or Set Up that the operational signal is based, on which a particular trading strategy is built.

The Top Trader© Stock Exchange software was created specifically to apply the Gann technique and speculative and defensive strategies with Call and Put Options in a simple and practical way and can be used on this blog.