eTradingPicks.com | Editorials

When a stock market crash becomes an undeniable fact, everyone starts wondering when will the bleeding stop. So just like almost everyone lived in denial at first, and refused to admit that a crash is about to wipe all profits, eventually, they would all  be exposed to fear and panic, and would once again refuse to admit that the crash is over. It's a natural human phenomenon that has accompanied every crash start, and every crash end. Having said so, it is still possible through a technical analysis method, to predict the time around which the market should be expected to bottom; and in the very same way, the time it should come back to make a new High. This method is called "Time Cycles Analysis", and is applied below on U.S. stock markets.

Based on Time Cycles Analysis, a U.S. Bear market is expected to last for at least one to two years from the date it starts. On the other hand, for the market to come back to where it was before the crash, it takes at least another two to three years. So applying the above guidelines to the current stock market crash, which started in the fourth quarter of 2018, we should expect a bottom to be placed "at least" by the end of 2019. And in the very same way, for the market to rebound and retest the 2018 Highs, we would be looking at the end of 2021 in the very least.