Ewave INDU, SPX, NDX
Since the March '09 lows my favored count for the INDU and SPX is an ending diagonal. Early last week it looked like the lower edge of the converging trend lines was broken. The rest of the week retraced most of the loss. These indexes are in Ending Diagonal wave 5.
The NDX from the March '09 lows looks like an ending diagonal too at least the part about all the "advancing" subwaves being zigzags. Waves 1 and 5 do not overlap.
How is this conflict resolved? Play it safe. Ending diagonal wave 5 in the NDX advanced above wave 3, but that's not the case in INDU and SPX where truncation maybe taking place. The futures this evening are down 2% in the SPX. OUCH!!! Fundamentals and wave counts are in synch during wave 3's. The bank stress test results, the GM plant shutdowns, and the massive insider selling would be synchronous enough for me.
