- In Trading Thoughts / Economics
- Last Updated: 16 November 2013
- By Gary Caumont
We hit my 2883 target today (low was 2877) and closed at 2884 thus confirming it- see the following 6day 30min chart.
The chart shows what may be a developing falling wedge which usually breaks topside. The short vertical line represents the mouth of the wedge which when placed at the point of breakout would give the wedge's target. The long vertical line is an 11 day interval. An ABC down from 2953 projects a 2868 target which should tag the wedge's lower trendline off of which we should see a bounce that breaks the top trendline. Bulls will need to make a stand in the next few days as much lower lows are projected if we blow through 2868. 2953 to 2868 is 85 points so a blow through with no bounce at 2868 projects a 2783 target so we would be getting close to bear market territory as anything below 2727 would be a confirmed long term wave 4 down from the 9/21/12 3197 top.