Thursday, September 4, 2014

DJIA update: at or near another reversal opportunity

I'm watching the DJIA action closely right now, especially due to the AAPL shellacking that happened yesterday and its weak bounce today.  The DJIA just hit a higher high on what could be counted as 5 small waves up.  Per earlier models, that inclining wedge was counted as a 3rd wave.  After an extended 3rd, the 5th is often the same length as the 1st.  So we are still a bit shy of that even though 5 waves could be possibly counted from the bottom of the 4th.  If the 5th were as long as the first then the chart would kiss the bottom of the upsloping orange line before running out of steam.  If we don't get an AM reversal today then I will be expecting that to happen before the big selling begins.  But its coming soon IMO.  Days not weeks.


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