Friday, January 9, 2009

S&P Cash With Clear 5 Wave Drop; Jan. 9, 2009


The 15min S&P cash chart above shows the index traced out a nice clear 5 wave decline. This is not the case for the Dow and Nasdaqs, but with the overwhelming evidence that a top is in, the S&P's five wave drop is worth noting.

With 5 waves down, a correction should occur, that can take the index to the 915-925 area before the next decline phase gets underway.

Again, a major top looks to be in place at the high of 943 which will lead to the market dropping below 740 in the next few weeks/months. I'm positioned accordingly.

1 comment:

Anonymous said...

:) Thanks for the update, I feel much better knowing the S&P won't reach 950 before we make a new bottom.

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