Tuesday, 10 August 2010

15:15 BST - SPX Update - 1 min close up

Its looking like the alternate count I showed in the close up 1 min chart under Options 1 and 2 in last night's update may be playing out, with a top at 1129.24:

SPX 1 min close up:

We've taken out one of the levels I identified in last night's update, 1120.91, which might give the first sign of a top. However, we now need to go on to take out that 1107.17 level. We should be able to do this if we are going to see 5 waves down from 1129.24.

Of course, we had this on Friday, and that 5th wave never came, so we need to keep a close eye on this. If we're in wave (4), then we can't end above 1126.60 - so in elliott wave terms, that's where we'll know for sure that something is not right with this count, but for me, if we start to move above the 50% retracement level, I'll be highly suspicious.