DJIA Elliott Wave Analysis - 8th August, 2011

[pjwaffle]

I'm seeing a much more bearish wave count. I'm seeing the move to the 09 low (6,500) as an impulse wave, the move to the high a month or two ago the end of wave 2, and finally wave 3 will end at a pretty low level if you, again, multiply wave 1 by 1.618.

[ElliottWaveForex]

@pjwaffle I'm seeing pretty much the same thing as you I think; but instead of expecting a five down and now within the third of that five, I'm expecting a super cycle zigzag down. My first target is simply where C = A of the zigzag. But C can be longer. The next target could be C = 1.618 X A which would be at 275.91.

So I guess your count sees the Dow in only cycle A of a super cycle correction? Yes, that is enormously bearish!

[nevadaxtube]

Your main daily count last week was indeed impressive. I didn't find anyone else who forecast the dramatic down move that you did. Congratulations Lara on that great call. Well done and thanks for the updates.

[ElliottWaveForex]

@nevadaxtube Thanks very much. Yes, this is exactly what I expected. Overall this fall has a long way to go yet. My analysis will focus on anticipating the bounces up as accurately as I can.