10 Responses to “SP500 and Nasdaq 100 – Two Different Corrective Patterns – Same Message!”

1. Jay Sanderson
   April 21st, 2018 @ 4:11 pm

   I’ve seen some EW counts showing a 3 of 3) to the downside starting. is that viable in your opinion?

2. Wavetrack International
   April 21st, 2018 @ 7:55 pm

   Hello, Thank you for your question. It is indeed a big testing ground for the Elliott Wave principle. We don’t believe a 3rd-of-3rd is
   viable to the downside at the moment – why?…consider this – the S&P’s
   February upswing from 2532.69 unfolded into a five wave pattern, ending Feb. 27th
   at 2789.15 – the following correction unfolded into a 3-3-5 expanding flat that
   ended into the April 2nd low of 2553.80 – these two price swings are
   part of a developing 5-3-5 zig zag upswing, i.e. (a)-(b)-(c) – wave (c) must
   now unfold higher from the April 2nd low into another five wave
   pattern – our original concept was that this would unfold into an
   ‘expanding-impulse’ because these are more common – a good example of an
   expanding impulse is wave (a)’s advance last February – one of its impulse
   sequences, i.e. its 3rd wave ‘expands’ the price action, giving it
   an archetypal formation – but the April 2nd impulse is not the same,
   it is now taking the form of a five wave ‘diagonal-impulse’ pattern,
   specifically, an ‘ending’ type diagonal because it is in the location of wave
   (c), ending the zig zag – which means its subdividing waves [1]-[3]-[5] have a
   tendency to unfold into zig zags or multiples, i.e. double/triple zig zags,
   which is why you are seeing this develop from the April 2nd low,
   ending into last Wednesday’s high – this completed wave [1] of the diagonal –
   to prove this wave count is correct, wave [2] declines must end above the April
   2nd low, then turn higher to resume the diagonal…so this downside
   test will prove this count either way- PG.

3. Praveen Vishnu Shamain
   April 22nd, 2018 @ 1:19 pm

   Dear Mr. Peter,

   Please find attached the chart (which also refers to 3 of 3 starting), which might be what Jay Sanderson was referring to.

   https://4.bp.blogspot.com/-_MkQT52NW5s/WttRh6FmlRI/AAAAAAAANdE/un9LBlECrx0Nyrw3HNusvCutz7Pa5rnBQCLcBGAs/s1600/20180420b.png

   P.S. – Please note that attached chart was a publically available on Internet

4. Wavetrack International
   April 22nd, 2018 @ 3:02 pm

   Thank you, Praveen Vishnu Shamain, as always! We will send your info to our EW-team and depending on their time schedule send a responds by Tuesday. Have a wonderful weekend!

5. Wavetrack International
   April 22nd, 2018 @ 3:38 pm

   You are lucky! We already received a reply from Peter Goodburn.

   Hello Praveen Vishnu Shamain – thank you so much for taking the time to add the link for the chart – it is similar to how I interpreted Jay Sanderson’s description of an accelerative 3rd-of-3rd wave decline beginning now – first observation is that the five wave ‘expanding-impulse’ advance that began from the grand ‘resynchronisation’ lows of Feb.’16 remains incomplete – this is open to interpretation for the S&P 500 but in previous reports (& annual videos), we’ve shown how the January high is only a 3rd wave peak when comparing with the pattern structure of the S&P 400 mid-cap and the Russell 2000 small-cap indices – if correct, then it would exclude a 3rd-of-3rd wave decline now…although we could consider whether January’s decline is ready to begin wave [c] of a zig zag now, or later as we believe more probable for the reasons stated in my earlier reply – one other observation – in the chart from the link you provided, the weakest aspect of this count is the upswing from the early-February low – it labels a double-three into the March high – that in itself is okay even though these patterns are very rare and should only be used as a ‘last resort’, but when the mid-February upswing occurred, this was unquestionably a five wave impulse pattern unfolding in the Nasdaq 100 ending on Feb. 27th where the Nasdaq 100 made a new higher-high – replicating that pattern (the double-three) just doesn’t work with the Nasdaq 100…the true path to price development is to find how to sync all indices together…oh, one final thought, in the double-three upswing, this is labelled as an expanding-flat-x-zig zag…wave ‘c’ of the expanding flat must subdivide into a five wave impulse pattern, but only three waves are evident in the price-data…there are no fib-price-ratios added to help ‘validate’ the count, especially within the Feb/March period which leaves the door open to a lot of ‘interpretation’ – thank you so much – PG

6. Praveen Vishnu Shamain
   April 22nd, 2018 @ 4:11 pm

   Wow !!

   Mr. PG works on Sundays too? 🙂
   Simply incredible !

   Thank you so much. Mr. PG has answered so many questions and clarified so many doubts.

   GOD bless him and entire WaveTrack team !

7. Wavetrack International
   April 22nd, 2018 @ 7:55 pm

   You are most welcome. Peter is always happy to answer interesting questions – even on weekends. It is always a pleasure to connect with fellow Elliott Wave enthusiasts. Have a wonderful weekend & God bless you!

8. Jay Sanderson
   April 24th, 2018 @ 6:24 pm

   Unless SPX can regain 2660 it appears wave 3 may be correct?

9. Wavetrack International
   April 24th, 2018 @ 10:40 pm

   So far S&P 500 and Nasdaq 100 have responded to fib-price-ratio measurements that depict zig zag declines from recent highs – whilst indices are above April 2nd lows, the outlook remains bullish. Best wishes.

10. shushumiga
    April 23rd, 2018 @ 5:57 pm

    I do not want to be rude, but I want to suggest another solution for this puzzle – your triple nested expanded flat is wrong and the corrective move up proves it. Have you thought about that?
    With ED SP500 and NDX will not move even close to the mid-March highs.

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