The topping process looks like it has a little more to go before we get to a completed price structure. We should see some weakness tomorrow to the 990-997 area for our 4th wave and then a final push up to at least 1004, but my target is 1008-1016 to end the move. Should we break 982, then the move is likely over and we'll watch the correction action to see if it truly is the beginning of the primary wave 3/C or if we we will only be in intermediate wave B. The action should be impulsive for it to be primary wave 3/C.
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Welcome back Rich,
ReplyDeleteYes, I, too, believe Nasdaq is the poster child of High Beta and risk, Have been saying for months that with Nas100 leading, chances of serious drop, or resumption of the brear is very low
these past few days, Nas100 has been showing its age better than S&P, if it persists and turns into an underperformance, this wave up may finally be over
piazzi
markettime.blogspot.com
I took a look from a quantitative angle, looking at closely spaced gap up days (as we had on Thurs and yest) and actually the forecast is quite similar to what you have here.. take a look .. http://traderkitteh.blogspot.com/2009/08/another-day-another-gap.html
ReplyDeletepiazzi, yes the nas has already started to underperform as it is having a hard time getting over its 7/30 high, which the s&p has done easily.
ReplyDeletetrader - nice analysis. Hasn't worked out though yet, so when it does happen we may get that 5%+ move down.