Abet Chichi2

[DiscoverGold]

For those who follow Elliott Wave analysis:

VERY Extended Market

* Monday, July 15, 2013

When I called that the market would rally into July back in June, I did not expect that we would head straight for the 1681ES extension directly. I expected extensions that were not quite this strong. But, the fact that we are here right now has to make me consider the bullish count much more at this point in time.

While this does not mean that I am still not expecting a wave iv pullback imminently, but, it would mean that those that would like to trade the long side, can always chose to buy a pullback into the 1645-1653ES region for a trade of potentially 37 points. But, as the b-wave is still very much alive on a pullback into that region, I will be very careful about the next 5 waves up, and would not likely hold until the last 5th wave of the 5th wave in that move.

But, for now, I am still patiently awaiting wave iv to show up and the levels of support to watch at 1675.75ES as the upper level, followed by 1671ES below. A break down below 1671ES will be a strong indication that wave iv was in progress, with a minimum target of 1653ES, and an ideal target of 1645ES.

See chart illustrating the wave count on the Emini S&P 500.

http://www.decisionpoint.com/TAC/GILBURT.html

George.

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