Wednesday, May 19, 2010

The fear is building...

I still maintain my primary count as wave 2 irregular flat going into Thursday and Friday; however, the bulls are just leaning on the edge here. The market has not been able to put together much of anything resembling a rally since Tuesday's opening gap up and while the market has not accelerated to the downside it has consistently trickled. This is where the wave counts can really throw you because we're not seeing any acceleration to the downside, but at the same time we're not seeing any response from the bulls. So either we get a decent size rally tomorrow or it fizzes out again in the 1130 area. If price drops below 1095 from here, we should see some massive acceleration to the downside.

Primary count: Wave C of 2 of minute 1.
Secondary count: Wave 2 of minuette 3 of minute 1.
Bull count: Wave 3 of some degree tomorrow with a major correction low established at today's low.
blog comments powered by Disqus