S&P as mentioned yesterday was outside of the upward channel and was correcting. The move is a 3 wave down up to now. This could very well be only wave A. This could also be the whole correction. In order for the correction to have ended, S&P must move above 1408 spot or 1406 future. Via twitter yesterday I said that there was a bottom at 1290 area that could very well be wave C. Now we are 9 points higher.
EURUSD is moving according to plan as mentioned several days ago. But there is also a bearish scenario that I think has chances to play out and so bulls should be very carefull. As depicted in the chart the head and shoulders pattern might move the pair to 1.28. Important resistance that should break is 1.33
Another thing I mentioned in twitter yesterday was a risk appetite towards MIB. That is what I saw there and I now gain about 100 points in that index.
It seems that the markets are weaker than you expect....I see this decline will continue towards 1340
ReplyDeleteGeorge when the markets look weakest...thats when they are stongest...and vice versa!You expressed that feeling right at the low of the day...that is what elliott waves is about. Sentiment should not drive us to make decisions regarding the market.
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