Tuesday, 9 November 2010

19:00 GMT - SPX Update

Taking out the low at 1217.55 that I mentioned in my last post gives the bearish count a fighting chance:

SPX 1 min close up:

As you can see the alternate count remains on the table, with wave [4] just forming a more complex correction.

For the bear count, it could be labelled as a 5 down from today's high or as the (1)-(2)-1-2 that I've shown. If the wave 1 low at 1219.46 gets taken out in an assumed wave 4 of (3), then I'll likely relabel the chart to show the 5 down instead.

The next target for the bear count is 1194.53, the wave [1] high (see yesterday's end of day update). Taking that out would rule out the alternate count on the above chart.