Wednesday, January 5, 2011

Very Close To A Top

If my interpretation that the market is completing an ending diagonal triangle at either minute or minor degree, we may be only 30 to 90 minutes from a very important top.  I am showing a closeup of the final squiggles on the 5 minute chart which sports a 4th wave triangle at micro degree.  On the one hand I don't like labeling the chart at this short a time frame, but on the other hand I hate not to point out what may very well be the final movements toward at least a near term if not a intermediate term top.

It is also important to note that the Russell 2000 appears to be completing a 2nd wave retracement against yesterday's decline as the Qs, the Dow and the SP500 are all making new rally highs.  Silver, too, appears to be rallying in a corrective wave pointing to a potential across the board decline in all asset classes except the Dollar.

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