In the alternative, the triangular wave structure we see now may be wave b (black). If that is the case, the end of this triangle will be the impetus for a upward 5-wave sequence which would likely retrace towards the top of wave 1.
I don't think that this is the case, but based on the wave structure, I can't make out any diffinitive "b" wave where the triangle is assumed to be a "c" wave ( the third wave in the corrective three wave pattern).
The reason I think that this triangle will be a terminal wave 2 (black) is because of what I am assuming to be the strong downward pressure of an upcoming three wave.
My original assessment of this correction was that the dip on 6/11/12 was the corrective "b" wave and that 1.618 the height of "a" would mark the top of "c". To a large extent that prediction has proven true. While the triangle pattern currently in question has continued for a while in terms of time, the upper resistance level in terms of its price points haven't really changed. This encourages my belief that the current triangle is in fact a "c" wave.
All told I am sticking with my current prediction, though I am assigning it less confidence than usual. When the market is elusive in terms of movement, I prefer to wait until a definitive indicator of future movement develops.
-W
No comments:
Post a Comment