The structure of the decline from ATH, however, presents much ambiguity. See Chart 3 for a number of tracking counts.
Chart 4 updates the daily chart on SPX.
Saturday, February 22, 2020
MTU Weekend Ed. - High (2/21/20 close)
Last week, we commented that ES is wedging. Now ES has dropped 2% over two days from its recent high. Whether we track the advance since the October low as an ABC or a WYZ, the wave proportions appear good enough to conclude the pattern. See Chart 1 and Chart 2 below.
The structure of the decline from ATH, however, presents much ambiguity. See Chart 3 for a number of tracking counts.
Chart 4 updates the daily chart on SPX.
The structure of the decline from ATH, however, presents much ambiguity. See Chart 3 for a number of tracking counts.
Chart 4 updates the daily chart on SPX.
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what is the period of your rsi? looks like 5?
ReplyDeleteDJIA & Other Indexes etc..
ReplyDeleteThe 2300 pt slide on DJIA the past few days has confirmed the comments I made the past 2 mths.
I said nothing the last 2 weeks here because I suspected the rally to last week was an abc as the previous decline from the mid Jan high was a small 5 down. I had no reason to change my view on the larger waves.
Size of this move prob indicates intermediate trend change from up to down esp given size of declines in tech stks. But we need to see if it holds at some level and reverses.
I would remind everyone 100 yrs ago we also had a similar health crisis with the Spanish Influenza that killed 50 million. See https://en.wikipedia.org/wiki/Spanish_flu
At what point the mkt will hold is the question.