Stock-Market-Observations

MARKET MESSAGES 

3/17/13 . . . 

This is the first correction since late February that is going to have 3 steps down.  All the other corrections recently have only had 2 steps down.

When we only see 2 step corrections, that means a buying stampede is in force.  The 2 step corrections are called by me a “can’t wait correction”, meaning it can’t wait to get going on the upside again.  Those are obviously great periods to hold stocks, but presently we have changed from a 2 step to a 3 step correction.

SP FUTURES 3 MIN BARS 03-17-13

NASDAQ 3 MINUTE BARS 03-17-13

It appears to be only 2 steps up since February 25th.  That should mean we are going to have a correction and then a 3rd step up.  Hopefully I haven’t miscounted the steps since late February.

SP FUTURES 30 MINUTE BARS 03-1-13

Looking at the SPX chart below, it appears that we are probably finishing 2rd step of the 3rd step since November 2012.  Some of the other indexes are further along and indicate that we could be finishing 3rd step up since late February.  See chart below.  Be sure and view the next chart “actual size” in your viewer.  This chart came from “My Charts”.

The chart for MXY (Mexico) indicates that we have probably started 2nd step down.  This should eventually line up perfectly with the SPX chart.  The present correction, another advance and then the 3rd step down in MXY would correspond to the end of step 3 up followed by a larger correction in SPX.

03-17-13 Chart #10.6

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This entry was posted on March 17, 2013 at 7:20 PM and is filed under UPDATE, WAVE COUNT. You can subscribe via RSS 2.0 feed to this post's comments. You can comment below, or link to this permanent URL from your own site.