This market forecast is for both our Actively Managed Certificate: Criptonite Next Gems & Criptonite Mid-Cap.
We propose that the November 2013-January 2015 correction is the main connector between the first cycle from inception to November 2013 high and current cycle from January 2015 low. Within this cycle, the first leg completed at December 2017 high in a 3 waves structure. From there, we saw a 3 waves correction down to December 2018 low before trend resumed. In the current cycle from 3,148.33, we propose that the first leg ended in April 2021 high at 64,840.36 and that correction is already completed at 29,336.54 low dated July 2021.
So, we now expect a confirmation of this view with a break above 64,840.36 to open the door for the first leg of the third and final leg high that would end the super grand cycle since inception. Targets to the upside can be calculated in log scale but we would be cautious with those numbers as we need to monitor the structures to the upside and adjust accordingly. Compared to last month, we cannot relate anymore to any previous pattern, most probably because we see a change in cycles with an extension from 4 previously to 8 years if we follow our model. That means that 2022 and 2023 should see a continuation higher. That means that we are still in the first leg of the new cycle from January 2015.
For December, we propose a continuation higher as long as above 53,317.32 with a target of 82,729.51. Below 53,317.32, we would see a larger correction of the cycle from 29,292.73 low dated July 2021. Only when reaching 82,729.51-100,906.25 area, we should see a larger correction before higher.