the dust settles, page-52

Red I don't need an explanation of the chart but that just me lol...

Current thoughts on S&P500..

In the short term, the long side is only good for a scalp atm and I would not be holding long overnight.

There was no new lows overnight (inside day) but the large move down so far may have required some consolidation. The move up from the Monday's low so far has been anything but convincing imo.

The move down on the S&P500 has been 71.98 points so far for a 31.02% retracement of the rally from 8 July. The prior retracement of that range was 28.55%. The one before that was 27.92% and the first one was 26.56%. So this retracement is not insubstantially deeper. That says to me that something else will probably happen now as opposed to what happened after the lows on 17/8, 2/9 and 2/10 and the future will not repeat the past and have us at new highs within in a few weeks.

Perhaps the best that can occur on the long side here is a counter trend up of 1 to 4 days. The day count starts when we get a new daily high so we haven't had day one yet. This is McLaren counting of days.

One of the divisions of the major range from the March low to 21/10 high should be where support is found for this move down. I'm thinking 992.72 which is 1/4 of the major range.

Safe trading...