Tuesday, February 25, 2014

Market Update

The micro 5 count I was tracking was invalidated today because of the W4>W1 rule. So I am looking at it now as a bullish nested 1-2 with a new high to come in the next session or two. Perhaps the market will end up repeating what it has done in the last 2 years, which is rally from January until April and start selling off in May?  So far there are couple of quick corrections from the 1737 bottom which look more like W4s than W2s and should this rally continue without a proper Fib retracement, I will just assume there won't be a "normal" W2 as it will be one of those Stand Alone W3's which tend to look like Zweig Breath Trusts.

I bought more short term longs today so I am all long now in my short term portfolio. Hope there will be a bullish W3 tomorrow..

Short Term Trend = Bullish
Medium Term Trend = Bullish
Long Term Trend = Bullish

* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking into consideration other factors.

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