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Thursday, August 5, 2010

E-minis [Update 3:30PM]

[Update 3:30PM:  I'm very comfortable with my DJIA count as a LD.  Yet still we might require a bit more patience.  At the top of the pattern is when everyone will exactly not have patience and give up completely. It always works this way. Judging from comments and some emails I got, this market is exasperating bears to say the least. The bulls put on a good face, which is a result of falling VIX for 2 months, but they better be able to adapt quickly as Minor 3 down will rip some faces off.]
[Update 3:05PM: GDOW was within 14 points of my target range. Not a bad call  Keep pushing.....]

[Update 2:56PM: Here is the overall count drawn from a slightly different perspective of a double zigzag instead of the [c] wave of Minor 2 wedge.  This implies the Minor 1 leading diagonal count to the 1010 low (where sentiment was lowest).  In reality, both counts seem to work as there seems to exist both elements of an expanded flat and a leading diagonal. Certainly the DJIA has retraced very deeply so far to fit the LD count.

They both imply the same thing still: Need another wave up to finish (would look best anyways if it did). And then Minor 3 down after it peaks.
Complex correction? Trying to give the bulls the benefit of the doubt. Whenever I see a triangle at the end of a long sideways corrective type move, I think w-x-y with a triangle in the last position. This is per EWP, look it up.
Good Luck.
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