Thursday, November 14, 2013

Thursday's Market 11/14/2013

After a slightly lower opening, the SPX wasted little time before reaching a new all time high. After hitting 1784.80, the index underwent a slight correction, dropping to 1780.22. A quick move higher brought the SPX to 1790.80, and after another small correction, the index rose steadily throughout the afternoon, hitting 1791.53 just before the close.


By rising above 1791, one count that would have indicated the completion of the wave from 1074.77 was eliminated. It now appears that this market still has higher to go. At the moment I am still waiting for the SPX to complete the sequence from the 1646.47 low that may complete the larger sequence. From the 1646.47 low, the best count has wave 2 of that sequence completing at 1746.20. Wave 3 is now underway.

Given the recent run-up, a pullback at some point would not be surprising, and a move lower of slightly more than 11 points would fit nicely. But the market could continue higher before that happens.

With what appears to be several waves before this upside move concludes, it is difficult to give targets, but a move to around 1828 seems reasonable. These targets will hopefully become clearer as the wave structure progresses.


5 comments:

  1. Thanks Steve.......
    Can I ask this question.....if we are indeed in wave 3 with a "possible" target of 1823-1828 have you looked into a "possible" target for wave 4 yet? Maybe a retest of the wave 2 sequence.....1746.....or am I getting ahead of myself?
    All my best; J
    P.S. Thanks for the post on Monday's Market.....when I said near/short term I didn't see that in the same day nor did I see your 1787 the next day...see ya'

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    1. Hi J,
      Questions are always welcome, especially from you. Without getting too verbose, today may have marked a high. I'm looking for a pullback to 1785 +/-, and then a move to 1828. I will try to go into more detail over the weekend, but if things play out like that, 1828 may be the end from 1074.77. After that we could see a pretty fair correction.

      Enjoy the weekend, and good luck as always,
      Steve

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  3. thanks steve. will you provide a weekend update to cover your medium term expectation? great work...

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    1. I will. It may not be until very late tonight or tomorrow.

      Steve

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