Elliott Wave TRIGGERS and TARGETS

[TREND1]

THEWAVETRADING 10/14/12


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This weekend I don't have much new to say since price is following the scenario that I have laid out.

Last Friday's brief description remains my preferred road map:
¦"Price is involved in unfolding a corrective pattern from the September 14 high.
¦If price breaks the 1430 - 1422 key support layer then the current corrective EWP should at least extend towards the target = 1397 - 1395. I consider it a likely outcome.
¦Once price reaches the mentioned target and we have positive divergences then price should attempt to resume the intermediate up trend.
¦If price fails to establish a bottom then the next likely potential reversal zone is located in the range of the rising trend line support in force since the October 2011 lows and the 0.5 retracement of June's up leg where we also have the 200 d MA = 1370.

Since yesterday price negated an impulsive sequence from the October 5 lower high, the overall EWP is getting more complex and probably the final target will be closer to 1396 than 1370."

http://www.safehaven.com/article/27306/weekly-technical-analysis