M chart pattern

I was reading some very interesting comments by Bill Duryea from IOAMT on Friday.

On Saturday when I was cleaning my desk I found a printout of a chart pattern from July and I realised I had seen the same ‘M pattern’ before. To add to the curiosity, some of the levels are almost exactly 100 points away from the levels which are currently important:

1357 was a key area and 1365 was a multi day top. 1328 was important HVN support after it bounced at 1323 we reached 1400 in 2 weeks (in reality it was 3 days in that time period):

This is last July:

This is from October:

This shows July-October and what happened when everyone was getting bearish looking for a break of 1300 again … I am writing this to help me keep an open mind and avoid an overly bearish bias.

The levels I was using in July are detailed here: https://atoast2trading.wordpress.com/2012/07/02/es-update-0207 and https://atoast2trading.wordpress.com/2012/07/24/0724

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2 thoughts on “M chart pattern

  1. Let see if it works again. The pattern in July was the start of wave 3 according EW and now we should be ready soon for the start of wave 5 (impulsive)

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