Elliott Wave 5.0 "Reboot"

Monday, April 25, 2016

Mini SP500 2007-2015 Review:



We know that all wave counts are only temporary unless they are perfect. Having a perfect wave count is a myth and an illusion on the part of any wave counter.  I show the wave 3 in Cycle degree at a top in 2015,  but my correction fits better into a small flat than a zigzag. 

A flat leading into a bigger flat is very rare if not impossible, so my wave three would be like Humpty Dumpty ready to fall off the wall. This would also make the 2011 bottom as the start of a massive 5th wave extension which we know was a stock mania move. A stock mania move has stocks and the US dollar roar, as gold and commodities generally crash. 

Stock mania's  have happened many times in market history and they will happen again and again.
We have to spot these moves before they are ready to happen as right now this stock mania is hibernating.  

If and when the Cycle degree is actually finished then we would need a Primary degree flat, or a Primary degree zigzag to complete the 4th wave bottom.   I don't think some Cycle degree triangle is in the cards as the solar cycle will kill that very quickly.  After all the Roaring 2020's will change all that.

As long as there is the slimmest chance that a Cycle degree 5th wave has "not" completed then there is no chance of a SC or GSC degree wave count to infect us! Markets must travel in sequence to the degree not in random fashion.