S&P 500 Nature Voodoo Magic Stuff

There are numerous opinions and charts showing that the S&P 500 looks bullish. I have put forth many myself either directly or through my new firm. And because that was not enough here is one more. A simple Harmonic ABCD pattern. From the June 2012 Low (A) to the September high (B) measures 207 points. Added to the pullback to the November low (C) gives a target for a top at 1551.12. The other method of extending the measurement in this chart looks at the pullback from (B) to (C), 63.1% of the (A) to (B) move. From there the reciprocal 158.4% is used as an extension

spx ab-cd

of the (B) to (C) leg. What target does that provide? Exactly the same 1551.12. You may also remember that Harmonics give an estimate for the time to get to the target as well. The time from (A) to (B) can be used to approximate the time from (C) to (D). This gives a target of March 1st or March 2nd. My son’s 8th Birthday and my daughter’s 6th Birthday! Wouldn’t that be a nice present.

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Dragonfly Capital Views Performance Through January 2013 Expiry

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The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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