Reply #3: Update...

[slipslidingaway]

see link for charts.

http://globaleconomicanalysis.blogspot.com/2009/03/another-bear-market-rally-or-something.html

"...Bear in mind the market is not rallying because of this nonsense. The market is rallying because at a minimum, it was technically very oversold and was ready to rally. Furthermore, this rally has the potential to be much stronger than most think.

...People have been asking for an update of the E-Wave count I have been following. The last update I offered was on January 9, 2009 in S&P 500 Crash Count - Wave Four Triangle.

On October 28, 2008 in S&P 500 Crash Count - Wave 3 Update I posted this interpretation of what might happen.


...The above idea worked pretty well. Moreover, it now appears as if the S&P 500 has traced out 5 clean waves down, ending at 666. If that is the case and wave 5 does not extend, it will not be fun to be net short at this point whether or not lower lows are ultimately coming later or not.

For now, let's party like we have profits, whether we do or not."