Monday, September 12, 2011

S&P 500 ~ Elliott Wave Count ~ 12 September 2011

That's why I wanted to see an hourly close not only below the trendline but also below 1140ish... : )

It looks like wave i of (iii) ended at 1136 today. Wave ii should be underway now. A common retrace for a second wave is 50-62 % of the first wave (i. e. 117x). I wouldn't be surprised to see a rally back to 1186 to close the gap though (similar to what wave (ii) did). If we break above 1186ish the count below is most likely wrong.

As you can see in the chart support areas are still at 1140ish and 1120ish. Resistances are at 1186 (gap) and 1204-08.