Friday, November 14, 2014

Elliott Wave Stock Market Update - November 14

This has to be the most boring 2 weeks in the market in the last 5 years. Despite having 5-6 new all time highs since 2021 broke couple of weeks ago, the total advancement has only been 1%. But at least the high from yesterday has held and the H&S pattern is still in play. So maybe we'll see some excitement early next week with a sell off or the beginning of another bullish leg. Also, I wanted to clarify the 5th wave label I have on the chart since I saw confusion over it. Basically, I see it as the last leg of the structure from 1821 but that doesn't mean it can't go higher. Usually, short term waves are more predictable when they have clear 5 wave micro counts to them and not overlapping counts like the ones we're seeing. That's why I haven't bothered to count the waves within this 5th wave as there's little predictive value to them. So the V label shouldn't be interpreted as a call for a top but as the actual label for the wave. If I felt this was "the top", I would be selling my long positions and not stay hedged.

Have a great weekend!

For further analysis on the NASDAQ, DJI, RUT, Gold, Silver and Oil please visit

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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