December 24th, 2012: EOD Update
Posted by pugsma on December 24, 2012
2:45 pm EST: Today’s price action did nothing to change the primary wave count. The 1323 low from Friday is still labeled as the wave ii-(3) of minor 3 of major [3]-P3-C3. However, it is possible wave c-ii might need to reach a little lower to 1420 (78% fib retrace) to 1416 (88% retrace) per the alt (blue) variant. The next move should be an aggressive wave iii-(3) of minor move up to new highs near 1481, where iii=1.62*i. In either case the wave (2) low of 1412 must hold for the count to remain valid. Any drop below 1412 would require a significant wave count revision. There are some good options like that minor 1 of major [3]-P3-C3 ended at 1448 and there could be a deep minor 2 retrace to 1396 (50%) to 1383 (62%), which is pivot support range. We will keep this count option open at the alt (red) variant should the 1412 level breach to the downside.
Support is in the 1422-27 band, then the 1386 pivot. Resistance is in the 1440 pivot range.
I have included the AAPL 60-min chart below. AAPL is at inflection point here at 520-25, where it must break out of the following wedge in a wave minor 3 of major [5] headed for the 599 target, where M3=2.62*M1 or else there is a real possibility of a new low below 501 to complete an ED for minor 5 of major [4].
Have A Merry Christmas !
SP-500 60-min chart (EOD):
AAPL 60-min chart (EOD):
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