Going back a few days I pointed out that there was a discrepancy between the TSE and the S&P, which started the bear at least half a year earlier, so not both can be 5-waves. A possibility ( repeat possibility) is that wave one down on the S&P is not yet complete. So far that scenario remains a ( remote?) possibility.
We have to be careful that we are truly at the end of a 5-wave move. There seems to be a lot of agreement on this and that concerns me. I think it is entirely plausible that we have NOT yet completed the sequence. There is a possibility that we only just completed wave 4 (or a of wave 4 if it is to develop as a triangle) The same applies to the S&P, see below.
This is not a predicting but certainly worth thinking about before one loads up on the long side. Canada oddly enough does have a clear 5-wave down, but it started almost half a year later. It is missing the entire first down-leg, both cannot be correct. The tops are about 1/2 year off!
Here we have the whole lot. From TSE to S&P to Nasdaq and then overseas to DAX and Nikkei. All charts are similar but as you go down the list the idea of a triangle moves from a perfect fit to less likely in the case of the Nikkei. Anyway after yesterday it is clear that we are not going to get that little leg down that would make it conclusive. Not that surprising seeing that just about everything looks like a buy. RY in the meantime is up almost $12 from the low just under $26, all of this in two weeks.
On the TSE we are entering a corrective up wave that typically retraces at least 38% (10400), often 50% (11250) and or 68% (12135). That does not mean that we might not first get a little pull back but for the time being one should try to be long. Some segments of the market are already up 20% or so, whereas others have not budged that much (Sherritt f.i.). By the way, BBD.B made the 30% sell point and so did BAC.
Today is a big day according to Martin Armstrong, I will not go into the details as you can Google this and make up your own mind. In my, I should say in E-wave terms this is also an important point. As I have said earlier , about 800 is very critical to the outlook as this is where “ overlap†would occur if we were to go higher. Now overlap, on purely empirical evidence, cannot occur except in a diagonal (shown in green). this is either going to happen or it is not and if it does happen we are going to go much higher (at least 1000) If not we first go lower to about 630 to get to the 61.8% down level and only then do we go higher.
Canada may be at the same spot;
It already has a “littleâ€overlap.