The red option is still the primary. If so, wave 4 of [5] may  have just completed today.

Options blue and green are trying to make a stand here. They just about pushed the limits of their extensions to (a). They need to start selling from here if we are to continue watching these options.

One thing to watch is the fact that the VIX closed inside its daily Bollinger Bands today after closing outside 2 days in a row. There may be some hope for the blue and green.

SPX - Rainbow

Green and Blue need to get going, otherwise, red is in control and wave 5 of [5] may be ready to launch tomorrow.

Pay attention to wave [5] extension targets of .618 = 1406 and 1.00 = 1440

SPX - 30 Min- Red Option

4 of [5] may have completed. I didn't include it above but we must still consider that wave 3 is still in progress as well. The daily MACD bull cross today may be hinting at it.

SPX - 3 Min - Blue/Green Option

The squiggle count to support the blue and green options. Either a larger complex corrective W-X-Y is in the works or a nested 1-2 i-ii down.

VIX - Daily 

The VIX closed inside

BAC

Wave 5 for BAC is certainly underway. I would imagine the first pullback to a 38-50% Fib would be a buy.

3/13/12 - EOD Update [10:32 PM Update: BAC]

[10:32 PM Update: BAC]

BAC

Looks like BAC broke out of its wave 4 triangle. I posted this chart last week. Gunning for 8.88?


 [7:00 PM Update]

ES

ES is backtesting the broken channel. Lets see what happens.

EOD Update 


Today certainly was not boring like yesterday. In yesterday's EOD Update, I wrote, 'I'm still watching the rainbow count options and if the bears do not bring some form of sell off tomorrow, the red option may be looking at a gap and go up tomorrow for wave 3 of [5].' Gap and go it did.

As much as I would like to say the red option is in full swing, the blue and green are still hanging on to dear life. I will say this, the red option is the primary until proven otherwise.

Therefore, the bears need to take out yesterday's low to confirm blue or green are still in progress before the market clears 1400. If the market clears 1400 prior to taken out yesterday's low, odds become very very small that an expanded flat or running triangle is in play.

SPX - Rainbow

I've adjusted the potential triangle formation and keep in mind that upper TL for the tri is arbitrarily drawn.

SPX - Daily Primary 

The bigger picture for reference. Note the options here.

1. Intermediate (B) finally complete
2. Minor 3 green complete
3. Minute [3] complete.

The thing we should be looking for options 2 and 3 is that no 4-1 overlap occurs, if the market is planning to push higher.

SPX - McClellan Breadth Thrust

I continue to watch this especially if the impulse count is in play. A reading of +50 will indicate a third breadth thrust is in. If so, 1440 would be a likely target.

3/12/12 - EOD Update [4:38 PM Update]

[4:38 PM Update]

HG

The wave 4 triangle for copper I posted the other day is still looking pretty good. The hourly MACD has bull crossed and daily appears to be next.



EOD Update 

A pretty boring day today. I do not have too much to add.

I'm still watching the rainbow count options and if the bears do not bring some form of sell off tomorrow, the red option may be looking at a gap and go up tomorrow for wave 3 of [5].

However, the green descending trend line, now at 1373 and the 1378 high will be levels to watch should the market move higher at the open tomorrow.

Should the market open lower and print below 1367, watch the blue count on the 10 min chart below. Some targets for iii/c below are 1363 and 1360.

SPX - 30 Min Rainbow Options

Note that I would like to see 2 red and b blue or green retrace to 38% tho. We'll see if that happens.

It is very possible 23.6% was enough.

SPX - 10 Min 

Weekend Thoughts

I posted this chart not too long ago. Was this last dip enough to test the 50 day like November 2011?

Notice where it bounced  at the upper quartile of the channel?

HG

Copper appears to be forming a wave iv triangle. This would be consistent with SPX.