Friday, 12 November 2010

18:37 GMT - SPX Update

I'm looking for wave 4 of (5) on the bearish count, but it may be just as well to be prepared for today's low to be wave (5) and, therefore, wave [1] down:

SPX 1 min - close up:

I think if we get much above the wave iv of 3 high at 1203.51, I'll start to think that we've seen the end of wave (5), especially since we've hit the lower channel line. If we are in wave 4 of (5), a 23.6% retracement would take us to about 1199 and a 38.2% retracement would be about 1201.

The alternate labels reflect the bullish count shown in the last post.