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To: Moominoid who wrote (135939)	8/20/2006 12:41:52 PM
From: Henry J Costanzo	Read Replies (1) \| Respond to of 209892

Can't quite figure out, David, how that relates to preceding action Jan-Apr... Looks to me like Jan-Apr may have formed an A-B...and what you show from Apr to Jul looks like a perfect 5-waver C down....completing an A-B-C correction down from the Jan high...???

To: Moominoid who wrote (135939)	8/20/2006 5:17:14 PM
From: skinowski	Read Replies (2) \| Respond to of 209892

That's what I think too. But it must be recognised that this is simply not a very tight setup. Bullish counts have the same problem. What I mean is - if we rally to new highs, it will be obvious that we have been looking at a good size ABC correction (or maybe a "A-B" with e "C" down to follow).... Otoh, if the markets break down, then obviously the bearish counts will be proven correct. Based on the chart alone it can go either way. No one can convince me that the charts at this point indicate one direction to the exclusion of the other. Maybe if NDX makes it above 1640 or so I'd say that the bearish case is likely to lose. So, the thing to do is to go outside EW "only" for further evidence. There, the sentiment is mixed and has been for some time. The seasonal and 4 year cycles still, I think, keep the balance skewed towards the bearish side.