It sucks to be wrong on the first labeling, but I'm going to go ahead and put a probable big C on top of today's upshot. Without an actual break lower, it is risky to try to anticipate a minor top here, but no guts no glory. The larger point is to watch closely for an impulsive move (5 waves) down that kicks off next leg lower. We are primed for it now. There is no reason to go all-in without confirmation since the projected down move move is fairly large (unless we hit 7,900).
Accumulating a short position makes sense.
Tuesday, March 17, 2009
Subscribe to:
Post Comments (Atom)
FDR,
ReplyDeleteI take it you consider the move from 774 yesterday to 750 this morning as the corrective "B" wave in the current A-B-C?
FWIW, it's fine by me as I build my short position. I personally do not/would not use EW for day trading anyway. I think it's better used for major moves, and generally beter for one's nerves...
ReplyDeleteIf you have nerves, you should really be in Treasuries and cash, RR.
ReplyDeleteFDR,
ReplyDeleteI am learning Elliott Wave, therefore a newbie for sure, but could wave 5 already occurred and this is actually a corrective A wave rather than 4? Thanks for your help.
FDR,
ReplyDeleteThat was along the lines I was thinking but not quite. That today's quick pullback did not constitute a B but merely a wave within A. That the B wave would be a pullback from about here with slight downward movement to retrace a part of A before moving back up again.