TBonds *PIC*
Posted by charleydan on 22:52 7/3/2009
As I mentioned--I am trying to revise this different for organization and communications.
Numbers correspond to the chart numbers.
1.That pattern always brings on a correction wave next. 3 or B=retrace---- Either it will be a deep one or a shallow one as in fourth wave. Other factors tells a trader more.
2.a) I thought that was going to be end of wave -d- and go lower in last post at the 2 mark. Creating an descending triangle fourth wave.
b) Notice how jagged the pattern is on the lower side of this wave. That is indicative of an -abc- or -B- wave pattern. So label this wave -B- and that changed the pattern slightly.
3. Shows the boundary for the flat fourth wave here. -C- wave is next, going down and will be impulsive.
4.As the fourth wave is being created--it pushes the market sideways over to lower trend line. On the daily chart the resistant line is moving down for a lower target on the daily chart as time goes on.
The -c- wave down should hit lower channel line. Long term traders have to wait a week or so for a good position on this one.