The FED has spoken and the market has reacted. My Contracting Triangle scenario has been proven wrong. No time for crying .... it is back to the drawing board.
My monthly analysis (see earlier monthly charts) shows a price swing (the solid blue line on my price charts) down into the August low and another moving up from there. Keep it simple ... that is a wave down and now we are doing a wave up.
The weekly chart shows three price swings down from the all-time high to the August low. It also shows us in the third swing up from the August low. So, the monthly swing down into August is composed of three swings down and so far looks to be made up of three swings up. Can I find a match in the daily chart? My proposal is displayed above.
I then overlaid some Fibonacci projections based on these swings and found a cluster around the 1540 area. My bias is still to be bearish here .... still looking for that October low.
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