• 1 day Welcome To The Used Car Bonanza
  • 2 days The Year Of The Retail Investor Keeps Getting Bigger
  • 3 days Airlines Could Recover, But Crew Remain Elusive
  • 3 days Meet The Man Behind The World's Most Exciting Oil Play
  • 4 days Crypto-Mining Immigration Could Be The Start Of A New Trend
  • 6 days Hawkish Fed Sends Gold Prices Crashing
  • 7 days Bezos Is Heading To Space This Sunday
  • 11 days El Salvador’s Surprise Bitcoin Move
  • 14 days Markets Unfazed As Inflation Hits 13-Year High
  • 14 days How the Token Economy is Disrupting Financial Markets
  • 16 days FBI Investigating 100 Types Of Ransomware Attacks
  • 18 days Fed Ends Corporate Credit Emergency Lending Program
  • 20 days AMC Becomes the Latest Winning Meme Stock After GameStop
  • 22 days The Real Reason Your 401k Has Been Lagging
  • 22 days China Lifts Cap On Births, Allows Three Children Per Couple
  • 24 days The Market Is Ripe For Another GameStop Saga
  • 27 days Senate Grills Big Banks Over Pandemic Opportunism
  • 29 days Cannabis Has A Major Cash Problem
  • 29 days Ransomware Netted Criminals $350M In 2020 Alone
  • 30 days Russia Is Taking On Google
How The Ultra-Wealthy Are Using Art To Dodge Taxes

How The Ultra-Wealthy Are Using Art To Dodge Taxes

More freeports open around the…

Zombie Foreclosures On The Rise In The U.S.

Zombie Foreclosures On The Rise In The U.S.

During the quarter there were…

The Problem With Modern Monetary Theory

The Problem With Modern Monetary Theory

Modern monetary theory has been…

Brad Gudgeon

Brad Gudgeon

BluStar Market Timer Investment Philosophy: The stock market is currently in a technical Elliott Wave Bear Market Rally. It has been exhibiting A-B-C type waves…

Contact Author

  1. Home
  2. Markets
  3. Other

Stock Market Top? Sucker's Play

The current rally from November 4 to December 12 (if indeed it was the top) was Minuette Wave Y of Minute Y. Minute Wave Y (of Minor Wave B) was a wxy inverted, irregular and strong bearish flat. Elliott called these B waves or irregular tops. The Trump rally is basically a "sucker's play". The internals of this rally are sick and very selective; the McClellan Summation Index is miles away from confirming it; the Dow Jones Industrials has far exceeded the SPX, which has far exceeded the NASDAQ creating a case of an inter-market bearish divergence. We also have a huge On-Balance-Volume divergence.

A move down into the mid 1900's SPX by February/March 2017 (as noted on the chart below) is my expectation. This would fit a Minor Wave B .618 retracement of Minor Wave A (January 19-July 14) fairly matching the November 2015 – January 2016 drop (due to the raising of rates).

I expect a down-up-down year for 2017, which should end Primary Wave 4. If Primary Wave 4 ends in late 2017 (like I'm thinking), then, the final top should occur somewhere around early 2019. The shallow decline of early November (which should have seen a deep 40 week low) followed by the strong Trump Rally, probably created a fortunate, unexpected delay in the finality of this upcoming, final fifth wave.

Millennial Wave (III?) "since c.a. 1000 C.E." Topping, early 2019?
Grand Super Cycle Wave (V) "since c.a. 1776"; Topping, early 2019?
Super Cycle Wave V "since 1942", Topping, early 2019?
Cycle Wave 5 "since March 2009", Topping, early 2019?
Primary Wave 4 "since late 2014", Rolling over into late 2017?
Intermediate Wave Y "since February 11, 2016", Topping August 2017?
Minor Wave B "since July 14, 2016", Rolling over into March 2017?
Minute Wave Y "since September 12, 2016", Topped December 12, 2016?
Minuette Wave Y "since November 4, 2016", Topped December 12, 2016?

S&P500 Daily Chart
Larger Image

It doesn't matter who is in power, the crash is coming! The above charts are perfect Elliott Wave counts. Are you ready?

 


Mention on which website you found this article, and you can sign up for any of our newsletters for 50% off the regular price. Contact us as we'll send you a special e-invoice. Good until December 17, 2016.

 

Back to homepage

Leave a comment

Leave a comment