The call on July 25 for a major top very soon, was a perfect call as we saw a top the very same day at 132.21. The top was found right in the middle of the two possible target-areas that was set in that post. Since the 132.21 high we have seen the first impulsive as wave i decline followed by a perfect zig-zag correction as wave ii and we should now see wave iii down towards at least 124.09, but I would be surprised to see strong support at 124.09 broken for a continuation down towards 122.40.
A break below 124.09 will confirm, that the test of 132.21 set a major long term top and would call for a decline to 109.85 longer term.
Hi - I dont think the market has topped. It is just forming an expanded flat. It should come down to 146 level and then again go to make new highs.
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ReplyDeleteIt's a possibility, but taken into consideration, that the Fibo-relationships was as nice (actually they where perfect) I do think that the 132.21 high was an important high and we of cause need a break below 124.09 to confirm that an important top is in place.
Even though an important top might be in place for now we could see new highs later on, but for now I think that it's it.
Kind regards
EWS
Yep...true! However, when the equity markets top out, we should see a reversal to flight to safety.
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