We now live in an interesting time. Every day we wake up with the news about either World Indices make all-time records or bad news about a terrorist attack and nuclear test. Historically, humans have gone through these stages and we were able to withstand all these events. At ElliottwaveForecast, we try to ignore all these events because, at the end, we believe in the Market Nature or code.

The Market or World Indices are not ready for a crash and we have been saying that for a while. $SPX had a chance for a major correction when it reached the 100% extension at 2234.00 area, but the Index hasn’t done anything and keeps going higher. We believe that the Market works as a whole and that looking only at the $SPX or an individual Index is not enough. For the last 6 years, many Elliott wave Theory participants have been calling for a 50% crash and the crash has never happened.

We have been able to stay bullish during this period as we use other tools in our forecast including correlation and also sequences. However, we do understand that nothing runs in a straight line in trading and one day we will get an All-time correction in World Indices. Based on our time and sequence study, we are looking at the 2020-2022 period for the period when we could get major problems in the world and this will be used to justify the all-time World Indices correction.

Many followers may ask why we believe at the year 2020-2022 as the period for major All-Time correction. At Ellitottwave-Forecast.com, we follow a system which includes Elliott wave Theory, cycles, sequences, time, distribution, correlations, and Fibonacci. We do not use Fundamental or sentiment because it provides us neither an actionable trade nor ways to manage the risk.

After providing members with over 7000 charts every month, we discover that majority of news or events happen when the Market reaches the extremes areas, which in our charts is represented by the blue box. The Market follows sequences, cycles and always has a target in each sequence and cycles. Indices are within the Grand Supercycle and only $SPX and $DOW have reached the target, which is the 100% extension from all time low related to 2009. See the chart below.