Martin Armstrong echoes my reasoning for the Wave Y up
"Eventually, stocks will explode to the upside once the BIG money is forced to shift from bonds to equity as was the case between 1932 and 1937."
During The Great Depression, the DOW rose from 40 to 195, between 1932-Q3 and 1937-Q1.
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Previous SPX Primary Post
The preferred count for Primary Wave 2 Up is that it will be a WXY double zigzag.
The first ABC zigzag off the March 2009 lows completed at 1344 in Feb 2011.
Next is a Wave X down, about 38% correction. Usually Wave X can be expected to be a zigzag, but we may have an expanded flat here.
Followed by the second zigzag up, which would then complete the P2 in late 2012.
This article from Chris Martenson makes the case for the next Wave X down, and then QE III, which could accompany the second zigzag up.
Alternately Wave Y could be a triangle.
Hello. I have one question.
ReplyDeleteWhat structure have the (X) wave?
Is it only A-B-C?
If C has the 5 wave structure - the low of wave (X) can't be less than 900.
@ Stas
ReplyDeleteWhy is that?