Friday, August 6, 2010

S&P 500 ~ Intraday Update 1 ~ 6 August 2010

The market left the trading range early this morning after the employment numbers were reported and hit my first downside target (diagonal trendline).

Interestingly, each correction since the 1010 lows hit exactly the 50 % retracement of the previous rally. So far I can only count three wave moves from the high, thus we'll likely see higher prices next week (1170-1175 is the wave (iii) target). In case today's low should break though, then the next targets are the 1100 gap, 1088 and the gap at 1070.