The chart below cites the facts as they have been counted out using The Eight Fold Path Method. We said in previous posts that Minor wave B 'could be any corrective structure including a triangle'. In particular, see the specific wave relationships cited in the chart notes.
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| S&P500 Cash - 2 H - Possible Triangle |
The up wave from the low of ((c)) has some 2.618 proportions in it, which 'may' make it part of a triangle. There are no guarantees, but a triangle 'might' precede the last wave set up.
Be cautious, flexible, and open-minded.
Have a good day.
Here is the ES 15-minute count upward. It is likely again an 'extended first wave'. It did contain a leading diagonal - followed by a short flat wave. Note that wave ((2)) up near the top is the "longest correction in price". As far as I can tell, any other count results in degree violations. Wave ((5)), up does not have to be finished, but it could be,
This was a sun-of-a-gun of a count because the bottom was potentially so confusing, but it may represent the (a) wave of the minute ((d)) leg, up, of a triangle for Minor B. The diagonal stops where the red arrow is, and then the brief wave ii flat takes over,
Here is the ES 15-minute count upward. It is likely again an 'extended first wave'. It did contain a leading diagonal - followed by a short flat wave. Note that wave ((2)) up near the top is the "longest correction in price". As far as I can tell, any other count results in degree violations. Wave ((5)), up does not have to be finished, but it could be,
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| ES Futures - 15 min - x ((1)) |
This was a sun-of-a-gun of a count because the bottom was potentially so confusing, but it may represent the (a) wave of the minute ((d)) leg, up, of a triangle for Minor B. The diagonal stops where the red arrow is, and then the brief wave ii flat takes over,
TraderJoe
to confirm this whole correction move upwards is wave 2?
ReplyDelete..currently counting that way.
DeleteYou need higher highs for that one Johhny G. It might be a good alternate, but I'll have to look that one over.
ReplyDeleteA second chart has been added to this post to explain the upward wave without degree violations.
ReplyDeleteIf we complete the B wave as the first chart suggests, how large of a C wave higher would we expect?
ReplyDelete'Usual' technical analysis says, "the widest width of the triangle added to the breakout point". I'll leave the calkalations to you ; )
Delete..but let's make sure we get a triangle - which points upward - first, and not a diagonal - which points downward instead. Let's say the a-b-c down was the first wave of a diagonal pointing downward. Then wave two of such a diagonal could have a 'deep retrace' looking just like part of a triangle. Remember, diagonals and triangle are COUSIN patterns. The three-wave sequences contained 'can be part of either'!
DeleteI believe JohnnyG brought up some good arguments recently for the dead cat bounce having completed at ES 2965. I am leaning that way too until the market convinces me otherwise. As always there are many counts that cannot be ruled out and a thanks to ET for his continuous efforts to keep us informed of many of these. But for now I moving to the top of my option count list the drop from 2965 to 2771 as wave i of an expanding diagonal noting that this drop was 3 waves only. What should follow is 3 waves back upstairs for wave ii of the diagonal. Today we've seen the first of these 3 waves (a of ii of C). This came up very marginally short of a 61.8% retrace. I'd expect wave ii of a diagonal to perform a deeper retrace. With c of ii of C theoretically yet to come a deeper will occur. Presently looking for 3 waves down for b of ii of C noting the 61.8% retrace level is near ES 2826.
ReplyDelete..show me the completed dead-cat bounce - up count, without degree violations, pls.
DeleteThere is now downward overlap on wave ((1)), up.
ReplyDeleteReminder of the Interactive Broker's full margin requirement at 15:50 ET. We have seen prices move 10 - 30+ points in one minute or so at that time.
ReplyDeleteA new post is started for the next day.
ReplyDelete