Wednesday, 16 June 2010

19:23 BST - SPX Update

Here's a possible way to count the move up from the 14 June low - as an ending diagonal. It would account for the three wave look of the rally from this morning's low to the 1117.49 high:

SPX 1 min chart:

Of course, the move up from today's low could still develop into a normal impulse wave.  I think it would help this count if we could take out the low marked [4] (and, as we all know, wave [5] must remain shorter than wave [3] for this to be vaild - there's still room for it to go higher - and must be a zig zag). 

PS A variation would be to retain today's low as the 4th wave of a 5 wave move up from 14 June and count a diagonal from there - we would only have had waves 1 to 3, so we'd need a 4 and 5.