Friday, 20 August 2010

15:24 BST - SPX Update: 1 min chart - Possibly more downside for wave (5) of [1]?

Here's something to consider - if I use the original labelling I had with wave (1) at the low of 1085.76, it could mean more to come in wave (5):

SPX 1 min:

At the moment, wave (5) is just about .886 x wave (1) if I put wave (1) at the 1085.76 low.  If it were to equal wave (1) it would take us to 1065. If it were to extend to 1.236 x wave (1), we'd get to about 1061 and a 1.382 extension of wave (1) would be about 1059.

Of course we can't know if this should be the correct count but if we take out today's low without a retracement sufficient to call wave [2], its certainly something that could be playing out.