ajtj99's Market Pulse

[ajtj99]

You don't need a chart. In e-wave a 5-wave move cannot have wave 4 up exceed the bottom of wave 1 down. If it does, the count is no longer valid.

In this instance the prospects for a lower low soon would be negated if the SPX moved above 805. Below 805 SPX the door still remains open for lower lows.

The chart Softechie posted is not invalid at the present time. If the SPX moves above 805, it will be invalid and need to be re-labeled. That has not happened yet.

Those looking for new lower lows need to reconcile that with the two 90% up days we've had, which is an indication of strength.