Tom Lee's First Five Days Rule Predicts Market Direction
- Market Performance Pattern: Since 1950, years with positive performance in the first five trading days saw an 84% market rise, with average full-year returns near 16%, indicating strong investor demand and reflecting market health.
- Negative Performance Impact: In the 27 years with negative early performance, average returns dropped to about 3% and win rates fell to 56%, demonstrating that early market performance significantly influences annual returns, as lack of investor confidence hampers sustained rallies.
- Psychological Structure Consistency: Tom Lee notes that early market performance is not coincidental but reflects investor risk appetite, where early buying signals willingness to deploy capital, and without demand, upward trends are hard to maintain.
- Crypto Market Similarity: Lee emphasizes that crypto markets follow the same psychological structure, where early capital flows indicate the activity level of large participants; strong starts suggest renewed confidence, while weak starts reflect caution, underscoring the importance of early January trading.
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Technical Analysis for
Technical Sentiment Analysis for () As of , () is exhibiting a Neutral technical sentiment. Our proprietary analysis, which aggregates 0 technical signals, shows that 0 indicators are flashing buy, while 0 are indicating sell.
Momentum Indicators: RSI, MACD & Overbought/Oversold Status Currently, the Relative Strength Index (RSI) for stands at -, which suggests a Neutral condition. Meanwhile, the MACD (12, 26) indicator is at -, providing a Neutral signal for short-term momentum. Other oscillators like the Stochastic Oscillator at - and the Commodity Channel Index (CCI) at - further confirm a - outlook for the stock.
Support, Resistance & Moving Averages From a structural perspective, is trading below its 60-day moving average of $- and below its 200-day long-term moving average of $-. Key price levels to watch include the immediate resistance at $- and strong support at $-. A break above $- could signal a bull continuation, while falling below $- may test the next Fibonacci floor at $-.
() Support & Resistance Level
| Name | S3 | S2 | S1 | Pivot Points | R1 | R2 | R3 |
|---|---|---|---|---|---|---|---|
| Classic | - | - | - | - | - | - | - |
| Fibonacci | - | - | - | - | - | - | - |
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