Timing is key
Short

Reaching for the extreme! on the S&P500

INDEX:SPX   S&P 500 Index
2780 24 22
Hello,

The chart was originally posted on my Dow chart ( See Link ) and has already had the 1st reaction on the RED upward fork upper parallel as expected and judging by the savage move down I expect another test at the converging lines before a larger correction is anticipated. lets see how this unfolds.

Sincerely,

TIK
millie PRO
2 years ago
What is the target for P5?
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Timing is key millie
2 years ago
Hello Millie, I will be looking around 2025 - 2040 for signes of an exhaustion move if price pushes past the last high as this is where the converging lines are sitting. This will also complete a nice daily 5 pivot ( expanding pivot ) formation ( not shown ). Interestingly the Dow is also mimicking the same formation on the daily close up view - I have posted an updated Dow chart in the linked chart comments. Keep in mind we are already at a critical area on the two major indexes so technically price can reverse at any point.

Sincerely,

TIK
+1 Reply
millie PRO Timing is key
2 years ago
Thanks very much for the quick response.
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Will Wong
2 years ago
Looks like the intermediate target is 1850-1985. It has to break that lower channel first.
+1 Reply
Timing is key Will Wong
2 years ago
I would agree with you Will, I am taking a long term view of direction if this thing turns over at the upper parallel & confirms, *statistically, it has a more than 90% chance of reaching the median line around the 1560 area, so the short term targets should provide good shorting opportunities on many of the smaller timeframes.

* Using median lines as a trading tool by Gregory J Fisher pg 37 (High probability patterns)
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CryptoWaves
2 years ago
Wave 3 cannot be the shortest wave. You've violated this rule more than once with this count.
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Timing is key CryptoWaves
2 years ago
Hello CryptoWaves,

If I where using EW rules you would be correct, however I am not. The only similarity Andrews methodology has with Elliot is that markets tend to move in a 5 wave sequence before a correction and a CIT, Andrews referred to them as pivots, however that is where the similarity ended. The main points I am demonstrating here is two fold. Waves 1-(2), 2-(3), 3-(4) and 4-(5) are what he termed as Expanding Pivots and secondly the 5th pivot is often the beginning of a big move when the EP presented. Interestingly, Andrews did acknowledge Elliot & his wave counts primarily the importance of pivot 5 or the end of EW 5.

Sincerely,

TIK
+1 Reply
CryptoWaves Timing is key
2 years ago