"All human activities have three distinctive features: pattern, time and ratio - all of which observe the Fibonacci Summation Series" (R.N. Elliott - "Nature's Law - the Secret of the Universe" - 1946)

Thursday, October 11, 2012

SPX - Too many alternatives for the sideways pattern

SPX has tested the 26 September bottom.
Last bearish wave seems more impulsive than corrective.
The movement from the top of September 14 appears like a sideways pattern which can be:
> a flat, with impending bottom (the best scenario);
> a complex, in this case may not have reached the bottom;
> a three or a triangle in progress;
> an elongated flat (Neely's pattern , the worst scenario).
To understand more, it can be useful to see  and analyze the structure of next bounce.
Have a great trading day...with care!

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