Damn! We just got wave 4/wave 1 overlap on DJX. Today's a POMO day and I guess the parrot is still squawking.
One potential count for this move up from the late August low is that we're now in a 5th wave that is tracing out an Ending Diagonal (ED). IF that count is in play, we would be either in the 4th wave of that ED, or more likely, the 5th wave of the ED began at this morning's low. Looks like the end of that ED would come in around 1210 SPX cash.
If an ED is in play here, once we top out, we should see a very fast move down to the vicinity of where the ED started, which is around 1132 SPX cash. So that will be quite a move, 70 or 80 SPX points.
I also have a timing band (potential turn window) for the morning of 10/29 which would be about right in terms of how much time the market would need to trace out this 5th wave of the ED which should unfold as a zigzag.
Damn! We just got wave 4/wave 1 overlap on DJX. Today's a POMO day and I guess the parrot is still squawking.
ReplyDeleteOne potential count for this move up from the late August low is that we're now in a 5th wave that is tracing out an Ending Diagonal (ED). IF that count is in play, we would be either in the 4th wave of that ED, or more likely, the 5th wave of the ED began at this morning's low. Looks like the end of that ED would come in around 1210 SPX cash.
If an ED is in play here, once we top out, we should see a very fast move down to the vicinity of where the ED started, which is around 1132 SPX cash. So that will be quite a move, 70 or 80 SPX points.
I also have a timing band (potential turn window) for the morning of 10/29 which would be about right in terms of how much time the market would need to trace out this 5th wave of the ED which should unfold as a zigzag.