Tuesday, February 7, 2017

Not Conclusive Yet, but Looking Like a B Wave

Nothing is conclusive until we overlap 2283.97, downward, as in yesterday's post. But, the DOW and the NQ made slight new highs today while the S&P500 and  the ES did not. So, the count below has an even chance or greater of being correct.

SP500 Potential Count

Such a count from Minor 5, of a three-wave minute ((a)) wave down, and a three-wave minute ((b)) wave, up, would likely have prospects of retracing all of Minor 4, and / or more. (Remember: read  the double-parentheses as 'circle' from here on out). This could would mean that all of Minor 5 of Intermediate (3) would be complete if the count holds. Let's see if it does.

If the ((b)) wave count has a 50% probability, the count that has the other 50% probability is that this up wave would go on to finishing a third wave of a diagonal count, but that higher high would have to happen tomorrow or the next day, and before 2283.97 was over-lapped downward. (This count is given slightly less odds because a diagonal following a triangle would be quite rare.)

By-the-way, here's how that potential inverted Head & Shoulders in the Dow Jones Industrial Average 30-minute chart worked out that I provided in a previous post (02-Feb).

DJIA 30-Minute Inverted Head & Shoulders Meets Target

That's likely the last one of those I will be calling in this market.

I would also keep my eye on Crude Oil, as it broke below $52 today. See my year-end video on You-Tube for some expectations.

The next few days will be very critical to determining short term market direction. So now is the time to pay attention and to remain patient & flexible.

(Remember, nothing posted here is to be taken as trading or investment advice. The patterns and wave counts are for education only.)

Thanks and have a great evening.


  1. Thank you very much Joe....! your analysis has kept me on the right side of the market this week.
    One question, after the abc completes(assuming that's the correct count), what do u expect next? an impulse lower? or what? I guess whats the wave count above this one?

  2. Hi Joe, long time reader, first time commenter. Really enjoy your detailed analysis and careful use of the 8-fold path. Any chance you could 'zoom out' in an upcoming post and clarify where we are longer term? I think by your count we're on the cusp of a 4 down before a final 5 to finish the bull market, is that correct? - DP

  3. joe what about 1 from 2233 t0 2300 and now we are in 3 from 2267..all abc moves as in ED.. now in c of 3

    1. While it's very possible, there is insufficient evidence for it without a further high.