Have the markets bottomed?

If you listen to CNBC then you would probably think that every time the market has a big up day the market has bottomed and the BULL market in force for the last 10 years has resumed.

Looking at the charts gives some perspective.

DOW daily
what can be seen?
1. Since the 8th November there is a downtrend
2.  in the down trend there are 2 counter trends up - 2 days and 1 day
3. yesterday's rally may be the 3rd.
4. The down trend has not been broken (Yet)
5. The rally needs to break 25400 before we get a higher high

So odds favour the move down

What can change this?
Well this morning there was, to quote DJT, fake news about a trade deal between China and the USA, which was lost in translation. (story here), and the futures leapt higher (DOW cash hot 24700 - just touched the down trend line).

So what dod that do?

Probably a lot of short sellers were stopped out of positions, and possible many entered long.
30 minutes later, all reversed and both bearish and bullish traders were "stuffed£

DON'T trade news