Charts SYSTEMS

[gdl]

I will let the market tell me if we are entering trouble. For now the market is hugging the very upper boundaries, not breaking above, but staying in the upper third of the well defined channel. An amazing showing with December know as the second best month for stocks.

Slow and steady. It is always tempting to guess the ending pattern, but even Elliot Wave practitioners are staying clear here. There are multiple short to intermediate cycles due for a low in mid-December. That seems to be counter-intuitive since in all this time, when the pressure should be on the downside, we have managed to keep a steady upward movement. If we do survive till mid-December what does that say for the rest of the year, and beyond?

I hope we do maintain this calm but decidedly up move till new year. That would make the odds so much better in guessing a down turn. In fact if that were to occur I would assume the correction would be deeper, but not necessarily long. To many days between now and Mid-December to make this proposition.