Tuesday, October 1, 2013

Charts 10-01: Yet another ending-diagonal

If we're going to top, it would be nice to have a terminal pattern in the tape so we can buy index puts with confidence.  We're in luck -- from the 1675 low on Monday, I think we have the first few waves of an ending-diagonal.

But first, you've got to see these nasty-ass hobo spiders I caught the other day (outside!) and flushed down the toilet.  Supposedly, these little fuckers have a necrotic bite like that of a brown recluse, they are one of the ills of living in otherwise-lovely Seattle, WA.

evil hobo spiders
die you fuckers, die die die

OK, feel better, got that out of my system.

So we're looking for an ending-diagonal.  On my count we have wave 1 in so far, and part of 2.  The pop into the close is b of 2 on my count, with a little more pullback into mid-session tomorrow.

I would guess that at that point we get a news flash on the CR negotiations that rallies us through Friday.  If the Bradley turn on October 8th is our top, the upper trendline points to SPX 1752.

With the gap down Monday and loss of time, I don't think we can make it north of 1770 by 10/8 without the vision of the Virgin Mary on the NYSE floor or some such.  But the current tape will allow for 1752.  Remember, 1752 is some waver A ~ C similarity between the "A" that began at 666 and the current "C" that started at 1074.

SPX 10-01
SPX 10-01 - I think 1752 should work here

Also, I hit Value Village after work like I always do, and I've got a new crush ...

Rodale's Complete Book of Composting

Isn't she dreamy?


Christian Gustafson said...

Truth be told ... I like to lead with an image instead of a chart because it looks so neat on the blogs sidebar over at Permabear Doomster's!

Christian Gustafson said...

This count is off. There's an ending-diagonal in-progress here, but it's on a larger scale. IMO, it started at SPX 1560, and we are now in its 4th wave.

In this vein, the 10/8 Bradley turn ought to mark a bottom.

The 11/3 Bradley may mark the top.

I'll post a chart tonight.

sooner said...

We have tons of brown recluse here in Oklahoma. They look a lot like the spiders in your picture. If you want I'll send you one, you can compare up close lol.

Christian Gustafson said...

I've caught the Arizona variety recluse at my mom's house in Tucson, as well as plenty of black widows and backyard tarantulas.

Hobos are a European spider introduced to the Pacific Northwest. It's one of the few little nasties we have got.