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Thursday, April 19, 2012

$SPX: 2 days,2 min charts. EW count and forecast. Wave 3 down,soon?

Market is shaking bulls and bears so "all participants,as always" could be wrong, as our TA masters teach us.

11:45 ET.Update.

1 comment:

  1. The chart of the $SPX shows an Elliott Wave 5 high of 1,576 in 2007. The $SPX of 1,4222 in early April 2012, was an Elliott Wave 2 Up.

    The S&P, traded by the ETF, SPY, entered an Elliott Wave 3 Down in April 2012, and as the word entered into the Second Great Depression. The Third Wave Down is the most destructive of all economic waves as it destroys most of the wealth built on the prior 5 waves up.

    And in as much as a Global Eurasia war is imminent in Syria and Iran, mankind is going to enter into the most horrific period of human history.

    Today April 19, 2010, was Capitalism’s Waterloo as the charts of Volatility ETF VIXY, TVIX, VIXM, all show a rise today, on a pivot lower in world stocks, VT, and US Stocks, VTI, as jobless claims, existing-home sales and manufacturing in the mid-Atlantic region all suggested that the robust start to 2012 seems to have lost momentum.

    The declines also reflected significant drops in many European markets after an auction of Spanish bonds was oversubscribed but produced slightly higher-than-expected yields.

    Transports, IYT, and Industrials, IYJ, both traded lower today giving Dow Theory confirmation that the bear market that began this month is definitely underway. Transportation Shares, IYT, traded 1.5% lower, and Industrial Shares, IYJ, traded 1.1% lower.

    Shares leading the way lower today included Steel, SLX, Housing, ITB, Small Cap Pure Value, RZV, US Infrastructure, PKB, and Large Cap Growth, JKE.

    Large Cap Growth shares trading lower included QCOM, NEU, AAPL, CAT. Apple, AAPL, -3.2%; shares dropped below $600 after Verizon Wireless said it had sold 3.2 million iPhones in the first quarter, down from 4.2 million in the fourth. The Nasdaq 100, QTEC, Technology, XLK, and MTK, traded lower.

    Spain’s BBVA and STD led European Financials, EUFN, Spain, EWP, Italy, EWI, Greece, GREK, France, EWQ, lower.

    Emerging Markets, EEM, the BRICS, EEB, China Industrials, CHII, Steel, SLX, which turned lower in March, continued lower today.

    Performance of Proshare 200% inverse ETFs this week include EEV 3.5%, TWM 2.1%, BZQ 6.5%, SSG 4.1%, SIJ, 1.5%, REW 5.7%, BIS -1.7%.

    Today’s trade lower in world stocks, ACWI, evidences the death of fiat money and credit, as well as capitalism. Confirmation of such comes from yesterday’s trade lower in Commodities, DBC.

    Much more commentary in my article Capitalism Meets Its Waterloo … Stocks Pivot Lower On Spanish Bond Auction Yield, As Well As On Job, Home Sales And Manufacturing Reports, is