Tuesday 24 June 2008

An "inside" Day Reveals Little


Yesterday the cash S&P500 made an “inside” day. This indecisive day was not the proof I need that a short-term low is in.

I am expecting a “b” wave corrective pattern from the May 19 high and it appears that the first portion of that pattern, a’, is an impulse pattern. Thus, even after it completes and the market bounces we know that at least one more five wave pattern to the downside awaits. Now is not the time for bullishness.

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