8 replies to this topic

[Remo]

I believe it was either fib_1618 or cheif who said last year that that as the markets approach the epicenter of primary wave 3, we will see a lot of amazement and awe... Multiple +100 point days in DJIA and disbelief... Is that what we are seeing now (also here on this forum)? Sentiment figures are in low levels vs. all-time-high short interest ratios, despite this continuous rally in the markets?

Edited by Remo, 02 May 2007 - 11:00 AM.

[S.I.M.O.N.]

I believe it was either fib_1618 or cheif who said last year that that as the markets approach the epicenter of primary wave 3, we will see a lot of amazement and awe... Multiple +100 point days in DJIA and disbelief...

Is that what we are seeing now (also here on this forum)? Sentiment figures are in low levels vs. all-time-high short interest ratios, despite this continuous rally in the markets?

i think the da_cheif's expecting a 1000pt up day at some point, so this is just mickey mouse stuff right now, i guess, all i know is that if there is indeed a 1000pt up day out there its going to be near impossible to stay long going into it, cuz the action prior to it is going to look utterly fugly..

[Mr Dev]

I think you're touching on it .... a majority of the SHORT Traders are still thinking it's is the easy money, and are not learning it can be FAST MONEY,.... but there is NOTHING easy about it ! But with these 30-50 point Swings for the NDX in just a few DAYS the BIG MONEY to be made is in Playing it Both Ways. I'm fine with that.....bring on the Volatility Spikes.... because they seem to promote big swings both ways.

Edited by Mr Dev, 02 May 2007 - 11:16 AM.

[fib_1618]

...as the markets approach the epicenter of primary wave 3, we will see a lot of amazement and awe...

Taken from Elliott Wave Psychology

3rd waves are ''wonders to behold'' - and for many good reasons. Technically, this is the time where most analysts throw in the towel as price is now confirming what the internals told the analyst during wave 1 - which was a change in direction was probable. This is also the time in which extremes in many indicators will show up - something in which I refer to as ''flags'' - which are used later on in approximating the termination point of the entire 5 wave sequence structure. In equities, these extremes will be in the raw data of both volume and breadth - and the strength or weakness of the indicators that use such information - as well as their relationship to each other. Price pattern wise, one will always be able to identify a third wave because of the fact that price patterns will break out of basic support or resistance areas that were previously controlling the pattern up until that time. Psychologically, this is when the mind set is that we remember how we all got burned before and that in no way is this the start of a major up move - also known as climbing the ''wall of worry''. Once the market gets high enough, people start throwing in the towel on their bearish mind set, and this continues to a point when all the ''willing'' buyers are in the market. 3rd waves are also never the shortest wave in a 5 wave structure - and more times than not - are generally the longest wave in either price, percentage gain, or both, to what will be the final 5 wave structure overall.

[skott]

not sure of what wave 3 you are talking about........ what degree? I'd like to see the count on that. Not disputing, I would just like to see the count

[da_cheif]

not sure of what wave 3 you are talking about........ what degree? I'd like to see the count on that. Not disputing, I would just like to see the count

the epicenter of primary wave 3.......should occur once the upper trendline of the dows expanding triangle is penetrated follow by a 2nd wave pull back to test it from above....that trendline is around the 18 to 20 k area.......depending on when its reached as the line is rising....we are allready seeing this occuring in the value line.....amex.....nyse ....weekly ad line...........we know its coming.....for the simple reason it hasnt occured yet......and anything that we know exists that hasnt happened....is indeed going to happen eh.....

[hiker]

"simple"

stands out in chief's statement above

da chief rules!

some things are more simple than they appear.

-----------

took this photo yesterday of Jenny Lake looking directly up Cascade Canyon
in the Tetons, the stock market may provide awe...while nature is what it is:

Edited by hiker, 02 May 2007 - 11:55 AM.

[jjc]

I think you're touching on it .... a majority of the SHORT Traders are still thinking it's is the easy money, and

are not learning it can be FAST MONEY,.... but there is NOTHING easy about it !


But with these 30-50 point Swings for the NDX in just a few DAYS the BIG MONEY to be made is in Playing it Both Ways.

I'm fine with that.....bring on the Volatility Spikes.... because they seem to promote big swings both ways.

Very good Mr Dev. I would go so far as to say easy short money is a good sign of a large upswing to
come and should make anyone with a short position nervous.

[Mtrader]

Nice wave. Hawaii or Rincon? Only surfer can reid this one.