I penciled in the futures rally on the S&P hourly chart below. If this rally holds, the casino will have two back to back identical retracement rallies for November. We see how long the mid-term rally lasted:
Here is where it gets interesting. The last two major selloffs took place after a hotter than expected jobs report.
On the daily timeframe, the casino looks very similar to this past Spring, except for the lower pane - two failed panic rallies in a row:
What is also interesting is that there was a Spring pause in the trade war, although back then no promise of a 90 day truce:
Deja vu, China Tech had a three wave rally into and after the pause:
Now, put it all together: China tariff costs, higher wage costs, global slowdown all compressing corporate profit:
"The earnings picture is dramatically souring due to risks stemming from China tariff costs to accelerating wage growth"
"The minute the global economy started to roll over, earnings revisions began to roll over, and that's the period we're in now."
"We do have deteriorating fundamentals"
In summary, this is now time for shared sacrifice:
Convergence in lifestyle between those who buy all the things and those who make all the things
Which will get everyone on the same page
