Replies to post #10109 on Profunds index and sector trading (PRO)

[Namiar]

You are saying that the SPX gets cut in half by November of this year??

That seems quite a bold prediction. But if such a move commences, then I will be following along via RAIM.

BTW, nice job on your recent call.

[Z-M-L]

On Thursday the NDX moved HIGHER at the open to 1481.77 and then quickly reversed and moved lower throughout the trading day. This action confirmed that the smaller degree three-wave correction to 1485.28 on Wednesday completed a Small Degree Wave-ii. On Friday the NDX moved BELOW the 1445 level, that I identified back on April 3rd, before closing at 1449. Also note that the NDX did FILL the GAP at 1453 this past week as expected.

The move BELOW the 1445 level is the first indication that the Larger Degree Wave 3 of C is underway. The next confirmation level is with a move BELOW 1430, which appears to be in the cards for next week. The Last and FINAL confirmation that Wave 3 of C is underway will come when the NDX closed BELOW 1368. This Wave 3 of C decline will likely last into late July/early August and will take the NDX to the 1005 level. This of course will not be a straight shot decline, but will have small rallies of Varying Degree along the way. In the end the upcoming DECLINE will look very much like the DECLINE from March of 2002 to October of 2002.