[Update 2:38 PM: And here is a reason why a price collapse on BIDU could occur following an ED pattern. From the $384 pivot to today's low, there is about $62 in open gaps up. In fact the whole chart is riddled like swiss cheese. And for those that need news? How about Google announcing they have settled their beef with China?]
[Update 2:23PM: BIDU hit some lines. Also its outside the daily and weekly BB.]
[Update 1:25 PM: Heading toward the channel on the cash index too.]
[Update 1:20: Struggling overlapping sideways waves moving toward the channel line. Pretty much the same thing happening on the cash indexes. Bulls want to break the down channel of course. Bears want to bury them back to the lower side. This stuff is exciting yes?]
[Update 1:06PM Just throwing some more counts that I have in my head. Lots of zigzags all around. Could be a stealth triangle.]
[Update 1PM: This rally effort is not over until the banks break. They were showing spongy strength today. Maps well as an ascending triangle and a test of key 252 resistance would seem in order.]
[Update 10:03 AM: Potential squiggle count on BIDU. Yes its wishful thinking on my part since I am short BIDU in stock and puts]
[Update 8:08 AM: 5 tiny waves down from a premarket high.]
I forgot to post a squiggle count from yesterday's high. It could all be corrective however it does count decent as a stealth 5 wave move down. The big 1 minute candle down where I have (3) was on volume.
After that candle down, the best the market could do is flop around for 3 and half hours trying to hold the 1071 line. It didn't even do that in the end.
Keep an eye on BIDU today. Should be an interesting day. I am off today, so I may post a few charts along the way.
And as far as yesterday's last update about an ABC down from 1150, I only wanted to show that it counts better as an ABC down that a complete [i] down. That was my main point as I get a lot of emails asking why 1044 could not be a Minute [i] low. I say we are still in (ii) of [iii]. Or (ii) of [iii] was over at yesterday's high.
Wave (ii) is free to range as high as 1104 without breaking any rules (although yes that would be painful). Anything over where [ii] is marked is a problem. But the wall of resistance should keep that from happening and the market should be turning down sometime today. Yes, there have been times subwaves range quite high as in the Sep financial short-covering rally in 2008. Yet that deep subwave retrace up didn't help anything did it and it reversed quite dramatically yes?
Just wanted to clear that up.
No, I have no doubt about the primary down count my heavy short bets are all in place. Good luck today!