Monday, July 11, 2016

Today is 7-11 ! A day for me that will always be known as Primary Five Day

Some people not familiar with Elliott Wave work will wonder what all the fuss is about. But those of us familiar with Elliott Wave will recall that a major Elliott Wave service had predicted that the years 2007 - 2009 were the start of the equivalent of Armageddon in the financial markets. And while those years were, indeed, very bad years for financial assets, this same Elliott Wave service had predicted that this deterioration would continue in the form of a "three-wave" primary b wave higher that would eventually lead the markets lower in a new five wave sequence lower of unparalleled destruction.

Today marks the day when, instead of the three-wave sequence upward, a five-wave sequence was made "instead". The chart below shows that five-wave sequence.

With Today's Higher High Primary V is Now Validated
This is of some consequence, because it is further validation of my paraphrase of the Bill Williams method of counting the Elliot Wave. This method has been detailed in the posts below entitled, "The Eight-Fold Path to Counting an Impulse Wave", and the chart above shows each one of those steps carried out without fuss and bother on the two-weekly chart of the S&P500. Why the two-weekly chart? Because the very first step is, "To chose the time-frame for which 120 - 160 candles fits 'the wave of interest'." If you are not familiar with this method, yet, you can read about it at this LINK.

There are several reasons why we think stock prices have carried this far:
  1. The Federal Reserve's low interest rate policy
  2. From 2009, a Fibonacci eight (8) years would be 2017
  3. That SuperCycle III is the longest and strongest movement in U.S. Equity prices
  4. That even if the public is not buying wildly, banks can buy stocks with parked funds
  5. And companies are re-purchasing their shares with low-interest debt.
Regardless of the reasons, the fundamentals are incorporated in the price changes so far, and the psychology of their application in the market is what makes the Elliott Wave above.


16 comments:

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  2. congrats TJ



    phil1247 from tonys site

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    1. tj

      will you be doing some intraday charts ?

      looks like tony has abandoned us
      doesnt he realize
      that without discussion the site is just a manifesto

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    2. Phil, do you have an entry for an ES long? I have 2145 as target, which got hit. I then use 2102 as anchor and see the entry is at es 2123. Would love to learn more of DH's method.

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  4. Hello Tj. Enjoy reading your work. Does the 2 week chart selected for this wave provide some insight as to where this wave will ultimately end?

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    1. If the wave impulses up, then Primary 5 (circle 5) may equal Primary 1; if a diagonal forms - then lower than that is certainly possible. Too early to say if the impulse or diagonal is forming.

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  5. Joe, Excellent work! Thanks. May I suggest that you make a link called "Saved Posts" and in there provide links to your posts that readers would like to reference in the future? The 8-fold method post would be such a post that's worthy of being put in that link area. Also, your long term charts can go there too; or other posts that readers may want to have easy access to.

    Thanks and really appreciate your work and your contribution to this virtual community. I hope other regulars on Tony's website eventually find their way here too.

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    1. Done .. added a 'Featured Post' section. Will populate and update it as appropriate.

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  6. Joe, may I also recommend that you give your website link on your Twitter profile and/or in a new tweet? Your comments on Tony's site use your Twitter profile. If people are looking for you and click on your handle on Tony's site, they'd be able to find this site if there is a link there. Thanks.

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