Elliott Wave 5.0 "Reboot"

Saturday, February 6, 2016

Russell 2000 Big Intraday Review



This is the march contract for the Russell 2000 and it is showing the best impulse decline out of all the other indices that I watch. It still looks like we are in a 4th wave and technically should be heading to a new bear market low. How it crosses to the new low, is very important as a three wave low can be part of a diagonal decline. 

If this all works does it have to hit the bottom of my trend line? No, that's a myth created by forcing or turning the trend lines. I keep my two trend lines parallel all the time and only change them when I think I'm in a different degree. 

On the monthly scale I can work this as a wave 1-2-3 in Minor degree, so the next low would be wave 3 in Minor degree, unless and ending diagonal shows up to this bear party. 

This all has the makings of an impulse decline, but it is short and stubby so it may give us a 5th wave extension.