Ewj: elliott wave

[Mup]

Thanks for the INDU chart.

I have it like this due to the large overlap

1507 on the SPX is the 50%

 

[mu200411]

Prepare to cover short and enter long position at around -400,-40,-80, then set stop at the last low where there is a higher high.
Accept 60% of target.

 

[mu200411]

Thanks Mup for the INDU charts.

 

[mu200411]

This is my SPX chart.

Can we classify the first five waves as a Diagonal Triangle Type II, with some blowout?
If yes, it will not bode well for the Market's future, since it will tell us that we are in the third sub-wave of the third wave, i.e., Subminuette Wave :3iii. Futures -380,-41,-56.25 don't bode well for the Market's either!:eek:

Unless B&B cuts again Monday looks scary!!!!!!!!!

 

[mu200411]

Bear Market Strategy: Short Buy & Long (Short) Sell.

Buy and hold for only a short period. Hold Short position for a long period.

Scenario 1.
Intermediate V1]4) Wave is unfolding into Minor Wave V1]4)c which in turn is showing Minute Wave V1]4)c.1 which is in the middle of Subminuette Wave V1]4)c.1:3iii.

Day traders began to take profit from the all time high, 25SMA investor began to sell yesterday, 50SMA investor will begin to sell on Monday. 200SMA may begin to sell in Minuette Wave V1]4)c.3 when the Market goes below 200SMA.
Strategy 1.
Hold short position to 200SMA. Buy rebound of Minuette Wave 1]4)c.1:4 and take profit when there is a lower low. Set stop at the last low.

Scenario 2.
Minute 1.2 is ending. Futures turn positive on B&B surprised Monday 22nd, 2007 cut.
Strategy 2.
Close short position. Open long position for a 1000,100,200 up move.

 

[mu200411]

Scenario 1.
No rate cut. Futures point to lower start.
Strategy 1.
Hold on to short position. Find an opportunity to buy and hold for a 70-100,7-10,14-20 point profit and sell. Target around -800-1000,80-100,160-200 from all time high.

Scenario 2.
Surprise rate cut. Futures jump up.
Strategy 2.
Close short position. Buy and hold for 1000,100,200 points.

Today need to be concentrated. No post in the morning.

 

[mu200411]

Long position was open near target, -800,-80,-160, from September high when there is a higher high in SPX and closed when target +100, +10, +20 was reached.
Short position intact.

 

[mu200411]

Open long position again at double bottom when there is a higher high. Target same or may be a little more.

 

[mu200411]

Plan to sell the long position at measured move where there is a lower low. Same target 100, 10,20 as before.

 

[mu200411]

Target reached. Long position closed because a lower low.