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Monday, September 13, 2010

Noted Divergences and More Ponderings

I will be building off my ideas from yesterday's post Ponderings. See that post to put this one in context.

First major observation: The NDX bettered its August high today. I was noting that the FTSE already did last week. Maybe you want to argue that the British index does not move like the US Indices (even though I noted that it does, quite a lot, and in fact most of the time leads the SPX slightly). Fine. But if you are maintaining a 1-2 (Minor), 1-2 (Minute) down count and ignoring the NDX, then you are doing yourself a disservice (IMO).

Here is my count within the context of the Large LD from yesterday's post. This wave really could be done here.

I think we are within the target area for C to be done. It would technically be a truncated C, but I feel it is close enough to the Aug peak to qualify as a double top.

Also note that there are some substantial divergences taking place. Definitely on the 60 minute, but even cropping up on the Daily chart as well.

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