Wednesday, 22 September 2010

17:24 BST - SPX Update: Possibilities from the 1148.59 high

For the immediately bearish case, the move down from 1148.59 can be counted as a leading diagonal wave (1). However, it could be a C wave within wave (4) on the alternate (the wave (4) of [5] possibility just managed to survive this morning's decline). 

There's another possibility, which is that waves (1) and (2) are where I placed them in my first post and there was then a diagonal for 1 of (3) to today's low (see the dotted lines). That's negated above 1144.38:

SPX 1 min - top in at 1148.59 or one more high to come:

Levels I'm watching: 1144.38 to negate the (1)-(2)-1 count;1148.59 to negate the wave (1) down count; and 1131.47 to negate the wave (4) of [5] count.