Hacksaw

Looks Like We'll See Dow at 10K - Soon?

The pattern in the chart above, in elliott wave terms is an expanding triangle. If true it is actually extremely bearish, after the rally to 10000 which would complete the final up move a sharp thrust to new lows would ensue. Typical target is equal to the widest part of the triangle which is 2500 points. That said, you would be looking at downside target of 5000! All that said, the pattern above is not ideal as there is a five wave move from the Nov 4 high to the nov 20 low and the expanding triangle should have a three wave move in that position. We'll see what the market brings.