Robert Prechter’s book “Beautiful Pictures” illustrated Fibonacci time/price relationships within the Dow Jones Industrial Average bull move from July 1932 to January 2000. Prechter also examined Fibonacci time/price relationships from 1974 to 2000 that tied in with targets derived from the larger price structure. The previous blog “Market Nexus Points” illustrated Fibonacci time/price relationshipsContinue reading “Market Nexus Points – Part Two”
Category Archives: Price
Market Nexus Points
Robert Prechter’s book “Beautiful Pictures” illustrated several examples in which long-term stock market structures could be divided into Fibonacci price/time sections. One example showed that the Dow Jones Industrial Average bull move from July 1932 to January 2000 was divided into two thirty-four-year sections with the 1966 peak as the nexus point. Its possible theContinue reading “Market Nexus Points”
S&P 500 – Downside Target Zone
Today’s – 07/19/21 sharp decline broke below the micro-crash bottom made on 07/08/21 and could be the kickoff of a larger developing drop. Momentum evidence supports this theory. Daily RSI is 43%, the oversold zone begins at 30%. Daily MACD had a bearish line crossover. The daily S&P 500 (SPX) chart courtesy of Trading ViewContinue reading “S&P 500 – Downside Target Zone”
Major S&P 500 Price and Time Targets 06-16-21
The 05/11/21 blog “S and P 500 – Detailed Elliott Wave Count – 05-11-21” noted that the Dow Jones Industrial Average (DJI) – Primary wave “1” rally from March 2009 to April 2010 equaled the time of the supposed Primary wave “5” rally March 2020 to May 2021. There’s also a price relationship as PrimaryContinue reading “Major S&P 500 Price and Time Targets 06-16-21”
Ninety Seven Percent Retracement
Just after the open on 06/01/21 the S&P 500 (SPX) reached 4234.12 which is a 97.8% retracement of the decline from 4238.04 to 4056.88. The maximum retracement of the supposed impulse wave down from 4238.04 is 99.9%, in Elliott wave rules a 100% retracement would eliminate the bearish wave count. The 30-minute SPX chart courtesyContinue reading “Ninety Seven Percent Retracement”
Continuing Counter Trend Rally
Recently one of my friends who also analyzes the markets asked me; what was the maximum retracement for Elliott second waves. My answer was 99.9%. Wave “twos” generally have deep retracements, the most common Fibonacci level is .618. Sometimes wave “two’s” can have shallow retracements – there’re in the minority. The reason wave “twos”Continue reading “Continuing Counter Trend Rally”
The First Downside Target For US Stocks
The US stock market as measured by the S&P 500 (SPX) could be in the first 10% decline since the September 2020. The turn down from SPX peak on 05/07/21 and the Dow Jones Industrial Average top on 05/10/21 has been strong and steady. The SPX 30 – minute chart courtesy of Trading View illustratesContinue reading “The First Downside Target For US Stocks”
The Bull Strikes Back
The 05/04/21 post noted that usually after a break of a support level, the prior support then becomes resistance. On 05/05/21 the S&P 500 (SPX) pushed above the prior battle line support, hinting continuing bullish action. On 05/07/21 the bulls pushed the SPX to a new all-time high. The daily SPX chart courtesy of TradingContinue reading “The Bull Strikes Back”
Battle Line Bearish Break Through
On 05/04/21 the S&P 500 (SPX) opened at 4170.87 below the battle line discussed in the prior post “Battle Line – May 2021”. That post noted a break below the line could open the door for the SPX to rapidly fall to the 4140 area. This was achieved in the first hour, and shortly afterwardsContinue reading “Battle Line Bearish Break Through”
The Battle Line – May 2021
Markets are a form of non-violent warfare; each trading days is a constant battle for dominance between the bulls and bears. Determining strong points defended by bulls and bears, known in trading as support/resistance is key to knowing which side could prevail. A strong area of support for the S&P 500 (SPX) has appeared thatContinue reading “The Battle Line – May 2021”
Four Dimension Trading 