SPY -SPX Will we see a 3rd Bat Pattern?
Updated
Update from last chart published Oct 13.
So far so good. We have watched the patterns work nicely into the election and now past.
The "Tin Foil Hat" astro timing worked very well for us.. note the dates.
The Bat pattern shown in last months update, has produced some very nice trades for us.
Now we may be looking at another potential Bat pattern to the downside.
We are at a low risk area to take a bearish position from the calculated (green label) B point.
The small purple pattern used to calculate the B pattern (pink A B C ) was within 7 cents of target. Nice!
Now, how is our risk for the bearish side of things? where would we know that we are wrong?
Well,
If we break above the highs (shown), then the pattern is simply voided and up we flip and go in a potential wave 3 of 5.
But.... first if we are correct, and have just finished wave 1 of 5, then we should be looking for
a deep retracement of the wave 2 of 5. The 34% is very shallow for a wave 2 to be finished.
The Bat pattern would encourage the breakdown of the 2 black support lines shown (black arrows)
We also see many large "Pesky Gaps!" that still need to be filled (circled in red). That fast rise since the Nov 3 timing note, has
created a very unstable bull run. somewhat like a house of cards.
We look for the 3rd Bat Pattern (Blue) to begin filling the gaps on the way down towards bat pattern completion in the (green) buy zone.
Staying with our puts so far.
So far so good. We have watched the patterns work nicely into the election and now past.
The "Tin Foil Hat" astro timing worked very well for us.. note the dates.
The Bat pattern shown in last months update, has produced some very nice trades for us.
Now we may be looking at another potential Bat pattern to the downside.
We are at a low risk area to take a bearish position from the calculated (green label) B point.
The small purple pattern used to calculate the B pattern (pink A B C ) was within 7 cents of target. Nice!
Now, how is our risk for the bearish side of things? where would we know that we are wrong?
Well,
If we break above the highs (shown), then the pattern is simply voided and up we flip and go in a potential wave 3 of 5.
But.... first if we are correct, and have just finished wave 1 of 5, then we should be looking for
a deep retracement of the wave 2 of 5. The 34% is very shallow for a wave 2 to be finished.
The Bat pattern would encourage the breakdown of the 2 black support lines shown (black arrows)
We also see many large "Pesky Gaps!" that still need to be filled (circled in red). That fast rise since the Nov 3 timing note, has
created a very unstable bull run. somewhat like a house of cards.
We look for the 3rd Bat Pattern (Blue) to begin filling the gaps on the way down towards bat pattern completion in the (green) buy zone.
Staying with our puts so far.
Note
3rd Bat pattern voided. Price broke above dashed line. Continue with bullish plays
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