NEowave Fractal Analog
A Neowave Dow fractal I've been watching over the last several months compares a yearly move to this monthly move.
First chart is recent monthly action in the Dow. Second chart is the Dow from 1998-2011....while the pattern is not exact, the timing is very similar. I contend that yearly seasonals (such as a panicky October) has skewed the yearly fractal as monthly weak June seasonals has skewed the daily fractal and flip flopped the last wave in price. Though that is just theorizing.
If this Fractal Analog is accurate, the low in the Dow, SPX, and XLF is immediately imminent. This analog was one of the reasons I became bullish back in late May. I post this chart just for interest value...
One thing to watch now is for a very strong fast retracement out of todays lows as occurred out of the March 2009 lows. That would be the explosive reversal move out of the Expanding Triangle I mentioned several posts back. Things are definitely not looking bad for the bulls here if the Dow can rally several hundreds of points by end of the week.
First chart is recent monthly action in the Dow. Second chart is the Dow from 1998-2011....while the pattern is not exact, the timing is very similar. I contend that yearly seasonals (such as a panicky October) has skewed the yearly fractal as monthly weak June seasonals has skewed the daily fractal and flip flopped the last wave in price. Though that is just theorizing.
If this Fractal Analog is accurate, the low in the Dow, SPX, and XLF is immediately imminent. This analog was one of the reasons I became bullish back in late May. I post this chart just for interest value...
One thing to watch now is for a very strong fast retracement out of todays lows as occurred out of the March 2009 lows. That would be the explosive reversal move out of the Expanding Triangle I mentioned several posts back. Things are definitely not looking bad for the bulls here if the Dow can rally several hundreds of points by end of the week.
posted by chartblog at
1:39 PM
1 Comments:
Analog is acting well.
66 day Spiral Low is acting well. For those Gann Square of 9 fans, this is a 65 day low.
I read an excellent book this weekend I would definitely recommend..."How to Trade Like Livermore" by R. Smitten
If Livermore were alive, he would classify yesterday/todays reversal as a "Continuation of Trend Pivot" and would be aggressively "averaging up" into positions. Livermore didnt believe in averaging down in individual stock issues.
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