Stock Market Highlight #16
"Astro Points" listed in "The 1998 $upertrader's
Almanac - 2nd Half Edition" and "Inversion Cycle Indexes" projected in
"The 1998-99 $upertrader's Book of Linear Time Cycle" combine to halt market's
decline.
(COMMENT # 633)
UPDATED 19980901
COMMENT 1998-633
1. Let's return to the stock market.
2. The DJIA appears to have just completed the "3rd of III" down.
3. If correct, we're now in wave "4 of III".
4. From today's low, the market has already completed an approximate .382 percent
retracement of the move down from the 980819 high.
5. The 980819 high is marked in the chart as "Wave II".
6. If the interpretation is correct, the "III"rd wave is in the process of
experiencing a normal 3rd wave extension (see page 284 of "The $upertrader's
Reference Manual").
7. Under this scenario, we should chop around for a few days before moving lower.
8. If the "4 of III" wave does not move higher (we'll find out very first thing
tomorrow morning), and if "5 of III" is approximately equal to "3 of
III" (a very plausible assumption given the expectation that "Wave III" is
extending), the final target
for the end of "Wave III" is around 6500.
9. If "5 of III" extends relative to "3 of III", price will go much
lower before it ends "Wave III".
10. If the interpretation shown in the chart is correct (and there is NO reason [as this
is written] to believe that it is not), a PHI projection off "Wave I" yields
around the 6600 area.
11. If this ideal scenario is to continue to unfold, price will not move appreciably above
7900 (today's intraday high was 7897.9).
12. The length of both waves "iii of III" and "v of III" will then be
approximately 1300 DJIA intraday points (100 X FIBONACCI # 13 = 1300).
13. The entirety of "Wave III" will be 2100 intraday DJIA points (100 X
FIBONACCI # 21 = 2100).
14. "Wave I" was approximately 1100 intraday DJIA points (100 X LUCAS # 11 =
1100).
15. "Wave II" rallied about 437 intraday DJIA points (100 X LUCAS # 4 = 400, SQ
FIBONACCI # 21 = 441).
16. 2100 / 1100 = 1.909 (SQ RT [SQ PHI + 1.000] = SQ RT [ 2.618 + 1.000] =
SQ RT [ 3.618] = 1.902).
17. This is all pretty basic stuff, however, and isn't the reason I'm writing this
COMMENT.
18. The reason for this COMMENT is to review how yesterday's (actually Sunday's) "P
Point" ALIGNED WITH price and to update the Astro Points for the year.
19. The "P Point" is noted by the vertical mark below price in the chart of
daily DJIA prices through today's close which follows this COMMENT.
20. Other selected points in this year's "The 1998 $upertrader's Almanac - 1st &
2nd Half Editions" are marked in the chart.
21. What else needs be said?
22. The important concept to focus on now is page 398 in "The 1998 $upertrader's
Almanac - 2nd Half Edition".
23. Why?
24. Isn't it reasonable to assume that, should that expected Elliott Wave "IV"th
wave play out as expected, it is likely to end when it ALIGNS with the forthcoming
information on that page?
25. Of course, you COULD listen to CNBC . . .
26. But maybe we ought to turn to pages 291 and 295 of "The 1998 $upertrader's Book
of Linear Time Cycles".
27. Does this information ALIGN WITH the Elliott Wave interpretation presented in this
COMMENT or not?
28. Or maybe it's the reason for the interpretation presented?
29. How will you be better served - by treating these two pages as a road map (until the
market itself shows otherwise) or by reading the pages of "The Wall Street
Journal"?
30. Is this easy or what?
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