Monday, May 4, 2009
The further the patterns develop, the more accurate EW analysis gets. Counting 5 Minute waves [v] up to Blue C is a challenge but not as difficult as a B wave running triangle or a hyper-bullish A wave peak from the 666 low.
It actually gets EASIER from here in tracking the patterns.
My intraday chart I posted last Friday is but one example.
EDIT: I was bearish last week because I thought there was a good chance the market was tracing a [d] wave to peak. Just below where I have green [i] and before green [i]'s 5th subwave up, I was thinking the [d] wave of an expanding triangle. The expanding triangle is still a valid formation if 866 is taken out to the lowside unexpectantly with the new [d] wave peak at today's high. if the market pulls back some to say 890 and then goes past today's high, that will rule out the [d] wave completely. But like I said, that seems more remote at the moment and would be an unusual pattern.
Posted by Daneric at 5:29 PM