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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Siddhartha Gautama who wrote (40642)	10/3/2008 4:05:54 AM
From: TobagoJack	3 Recommendations Respond to of 218030

s&p500 at 0.5k, i believe, with gold at 2k, if all goes well then s&p500 at 2k, with gold at 6k, if all goes according to script

To: Siddhartha Gautama who wrote (40642)	10/3/2008 8:49:56 PM
From: TobagoJack	Read Replies (2) \| Respond to of 218030

just in in-tray the market reaction to the bail-out - essentially a 450 point intra-day loss in the Dow from high to close - is quite informative actually. it is the exact opposite of what 'everybody' expected, and as always, it's not the news, but the reaction to them that counts. this is essentially telling us: the market is still in a third wave down. it is still the same crash wave that started at the early August high (the top of wave 2 of 3). it is extremely volatile and keeps producing big 'oversold' readings , but it's actually still smaller than wave 1 of 3 was (that one was 225 SPX points, the current wave is only slightly over 200 points large). it would actually make sense for this wave to be some fibo multiple of wave 1 of 3, for instance 1,61 times wave 1. that would make it slightly over 360 points large, which is to say another 160 SPX points from here, targeting 940. after an intervening rally, wave 5 of 3 could then retest this low, and then we should finally see a larger (multi-week/month) rebound.