Thursday, January 8, 2009
S&P Futures Traced Out Five Waves Down; Jan. 8, 2009
Above is a 15min S&P futures chart that shows the decline this week tracing out a nice 5 wave pattern. With 5 waves down it tells us two things: 1) the larger degree trend is now down; and 2) a correction is due. So I expect a sharp wave 2 rally soon which will not make a new high on the week before it rolls over and sells off sharply again.