Wednesday, January 21, 2009

Simple Summary

" I am confused, what are you trying to say"

OK, here is the summary:
1. With a 4% drop, looking at the form, probability of Major Wave B is getting smaller (slim chance)
2. Probability that Dow is forming sub-wave 5 of A is getting higher.
3. There are two possible formations for sub-wave 5
4. Formation A, not so damaging, a diagonal 5 that can end at about 7500 for double or triple bottom formation.
5. Formation B, very damaging, very sharp drop to 7500 for sub-sub-wave (i) of sub-wave 5 follow by sub-sub-wave (ii) rebound then a sharp sub-wave (iii). Sub-sub-wave (v) can go below 6000 to complete Major Wave A. Then comes a 20% Major Wave B rebound follows by Major Wave C down to Below 3000. This is equivalent to 1929 Great Depression. Possibility is there but unlikely at this moment.

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