Wednesday, July 4, 2012

Happy 4th of July

Bear
 The bears either completed wave (2) or is working on completing five waves for wave c of (2). Note the 78% retracement level and the 4/2-5/1 TL.

Bull
The bulls may have completed wave iii. Note how it is similar with the alt bear count? We'll see.



The diagonal I mentioned last week may get its 78% retracement, which is a typical retracement out of a diagonal.

Below is a review of my longer term view.
Intermediate (B)
Per this count, the bears are setting up a massive drop down towards the 1220 area once wave 2 completes.
The eventual target for Intermediate (C) would be near the 1074 low to compete the flat.

Ultra Bull 
This ultra bullish alternate (which I'm not too sure about yet but will let the waves speak for themselves) has a very nested 3 of 3 of 3 etc in the works to new highs.

Note the alternate on this chart though that may form either a running flat or triangle. This would get the bears all fired up only to disappoint.

LT Corrective Option
Last but not least is this longer term view that treats the 2009 as one massive corrective bounce that is still not complete.

So what does all this imply? Remain flexible and adapt to change. Happy 4th!

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