Explaining SPY With New Wave Rule.
Updated
Did you check my last post? I said we will experience 2 weeks of pullback/ consolidation before we take off again. Expect January 3rd to be the start.
Unrelated to how I predicted that, but still in correlation, I want to show how the new wave rule gives a map for the next few weeks to happen.
This large wave spanning almost the entire year is what I consider to be a 5th wave.
For every 5th wave, wave 4 must make new price territory (in the new wave rule)
From now on this explains what is happening inside the wave 5:
This helps wave 3 fit in to the rule that it can't be the shortest, and gives us a maximum target for wave 5 inside 5. But according to the new rule we haven't started wave 5. We are finishing wave 4.
Because wave 1> wave 3.
wave 5 !> 3 (Wave 5 cannot be greater than wave 3)
So now we have a range for wave 5. Once we begin to take off and we are sure its the last wave. We know where it has to go.
I'll let you know how I predicted the 7 weeks in 7 weeks time. If it becomes accurate. Still keeping that to myself.
Trade with care. Let's have a good 2017
Unrelated to how I predicted that, but still in correlation, I want to show how the new wave rule gives a map for the next few weeks to happen.
This large wave spanning almost the entire year is what I consider to be a 5th wave.
For every 5th wave, wave 4 must make new price territory (in the new wave rule)
From now on this explains what is happening inside the wave 5:
This helps wave 3 fit in to the rule that it can't be the shortest, and gives us a maximum target for wave 5 inside 5. But according to the new rule we haven't started wave 5. We are finishing wave 4.
Because wave 1> wave 3.
wave 5 !> 3 (Wave 5 cannot be greater than wave 3)
So now we have a range for wave 5. Once we begin to take off and we are sure its the last wave. We know where it has to go.
I'll let you know how I predicted the 7 weeks in 7 weeks time. If it becomes accurate. Still keeping that to myself.
Trade with care. Let's have a good 2017
Note
It's the 3rd. I'm assuming this is the end of consolidation. Now we have a maximum for our target. 2435.7
Note
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