Most people only look at price and forget about time. When time and price meet, price can have a big reaction. Using fibonacci in time. Anchors, yr 1896 ATL to yr 1929 H, project fib ratios out in time, there seems to be a pattern from observation.
Years 1942, 1950, 1974 & 1982 these fib ratios showed price was at the end of a correction with the 38.2 being the deeper of the two corrections and the 61.8 being a -24% correction. Year 2007 the 0.382 was at the start of a correction just like the 61.8 is at the start of the current correction. A -24% correction would put the DOW at the monthly close high of year 2007 in the 13800´s
The correction could be deeper, i do not know. However, once the correction is over. If history repeats. Looking left of the chart. Price would have an upside bias.
Years 1942, 1950, 1974 & 1982 these fib ratios showed price was at the end of a correction with the 38.2 being the deeper of the two corrections and the 61.8 being a -24% correction. Year 2007 the 0.382 was at the start of a correction just like the 61.8 is at the start of the current correction. A -24% correction would put the DOW at the monthly close high of year 2007 in the 13800´s
The correction could be deeper, i do not know. However, once the correction is over. If history repeats. Looking left of the chart. Price would have an upside bias.
Comment:
With Yellens dovish statments yesterday on rate hikes, I am not comfortable recomending shorting the spx. If could just continue to drift higher. I do not know. If the dips continue to be bought, there are two possible upside targets Notes on chart
Comment:
es june contract could have a price target @ 2118.50 using continual anchors
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I believe 2494 - 2500 could find some resistance where intermediate 3 could end. all bs. with a pullback towards the 2300 in an intermediate 4, intermediate 5 has a possible target up at 2511 with a -0.618 fib extension using year 1974 anchor low to year 2007 anchor high. More bs, I believe intermediate 5 could end towards the end of year 2017 setting up a primary 2 which could last pretty much of year 2018. Once Primary 2 is done, price could be entering a primary 3 of cycle 3 where in the nxt few years, where we could witness a very powerful minor 3 of primary 3 of cycle 3 aka 3 of 3 of 3 which would probably blow all the doom and gloomers minds to shreds