Monday, November 7, 2016

Best Count Currently is that of Diagonal Primary V

One chart, below, should say it all today after the news broke over the weekend about the FBI not being likely to pursue charges against candidate Clinton regarding her emails.

SP500 Cash (2-Day Chart) - Likely into Wave (3) of the Diagonal

If you measure wave C of Intermediate Wave (2) downward, especially in the futures, then the measurement is C = 0.618 x A to the pip! The upward gap action suggests that the trend lines for the diagonal be redrawn until we know where wave Intermediate (3), and Intermediate (4) are placed.

In the after hours today, wave minute-e (circle-e) of the triangle was exceeded, higher, and even cash price has clearly entered the triangle again. So, it does suggest that upward movement may not be over, though it may be halting or tricky.

Remember, wave (3) in such a count should be an A,B,C zigzag higher. Wave (3) must at least make a marginal new high, and it must remain shorter than wave (1).

That's what the chart looks like at this time.

Cheers!

7 comments:

  1. That's one ugly looking ED if it pans out

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  2. Replies
    1. Still a possibility ... just not enough evidence for such a count as of today. Volume on the rally was quite weak.

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    2. Here is your volume. I think we have to strongly consider this as a 1-2, 1-2

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