Thursday, December 17, 2009

Elliott Wave Update 17 December 2009 ~ Still in the channel

SPX: The market couldn't break above the upper channel resistance around 1115. It turned down and is nearing the lower trendline at 1085ish again.

With today's breakdown my preferred count was invalidated. But the other count I mentioned on Tuesday looks now better than ever: Wave [1]/i was completed on Monday and since then we've got an Expanded Flat for wave [2]/ii which retraced about 62%. So all in all quite nice but since the short term waves are a bit messed up it might be better to wait for a channel break. Either a break below 1086 meaning the top is in or a break above 1116 in a wave 3 to make the top around Xmas/new year.