Thursday, October 20, 2011

Market Timing Update (10/20/11)

[EOD] Stocks -
No change in tracking counts, Chart 1 refreshes. See yesterday's EOD update for a description of various color coded counts.

The details are in the squiggles, see intra-day entries for more. Chart 2 counts the decline from the 255pm high. There are 11 waves down which is corrective (bullish). There's a possibility of a truncated 13th wave down which would be actionary (bearish). We'll find out.
[250pm] clues from NDX / NQ -
Regardless of the larger count, the decline in NQ from the nominal high (NDX looks different) is best counted as a zigzag (bullish) or a 1-2-[i]-[ii] setup. Either way, at least a deep retrace is likely.
[1135am] DAX, SPX update -
DAX - 5 index points shy of a lower low
SPX - grinding lower
[910am] DAX, ES update -
ES, is it a five down from 1227.25 (or 1229.75)?