The following chart was what I left readers with on Monday. As expected, the Market rallied but failed to reach my target. In addition, the correction ended before the .382 time relationship of 6/16/11. The implications are that w.i circle wasn't complete and that the wave is still extending. Often it's difficult to determine which wave is extended but the fact that the retracement was shallow leads me to believe that the rally was actually a forth wave within w.i circle.
I'd like to point out that the "degree of trend" is for illustration purposes. As you know I'm working an expanded flat or as an alternate count, the top is in place. Once I can establish which count correct, I'll adjust the degree to properly reflect the structure.
I've relabeled the subdivisions of w.3 red to reflect the shallow retracement that ended just shy of the .50 retracement of w.(iii). If this labeling is correct then w.(v) is underway but t looks incomplete. Look sideways to up in the ON session, followed by a last push lower to completed w.(v).
Best of Trading
Hi
ReplyDeleteI am still going with your original target for wave 3 to end at 1233. Wave 5 of 3 is going to expand to reach that target. wave 3 of 5 of 3 is going or should end around 1245 or 1249 and then bounce and then goes to your target of 1233.
Thanks
Manoj - Thanks for the comment. If w.(v) = .618 w.{(i)- (iii)} then 1233.75 would be our target and in agreement with my original forcast on ES1-057 or 1228.5 on the Sept contract.
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