AI
Wednesday, June 17, 2009 2:01:37 AM
Hi 3X! On a short term Renko, recent SPY waves can be easily counted.
Chart 1 = bullish count. The Fibonacci price extension lines were projected from the trip of waves 1 - 2. Wave 5 is finished with a double bottom precisely at the 161.8% extension. This one is simple and clear. I like it.
Chart 2 = bearish count. An additional series of Fibonacci price extension lines were projected from the trip of waves 3 - 4. Note the interesting overlap of the two support lines, from the two extension series, at the closing value of today, 6/16... = maybe a strong support. An approximate ab = cd marked the transition to a long down trend. Wave 5 can have much lower targets, but not lower than 90.6, to stay < wave 3.
Tomorrow’s opening should discriminate between these two counts and therefore it is important both for longer term investments and for OE positions.
Chart 1 = bullish count. The Fibonacci price extension lines were projected from the trip of waves 1 - 2. Wave 5 is finished with a double bottom precisely at the 161.8% extension. This one is simple and clear. I like it.
Chart 2 = bearish count. An additional series of Fibonacci price extension lines were projected from the trip of waves 3 - 4. Note the interesting overlap of the two support lines, from the two extension series, at the closing value of today, 6/16... = maybe a strong support. An approximate ab = cd marked the transition to a long down trend. Wave 5 can have much lower targets, but not lower than 90.6, to stay < wave 3.
Tomorrow’s opening should discriminate between these two counts and therefore it is important both for longer term investments and for OE positions.
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