AMZN technical update – market wrap-up

The Amazon weekly chart is also hinting to further weakness. We need to drop below 40 going forward but the daily counts are reaching an interesting level. The daily combo count is at a 12 today and, as we are in wave 5 of 3, a retest of the 43 level could produce an upleg. Although the weekly count is only at a 10 and we did not test the important support lines yet, wave 3 might come to an end soon. We will see as we get the 13 tomorrow and what the market does about it will tell us what we need to know.

The markets closed lower and within 2 days we might get a minor trough for a brief upleg before we should see a more substantial sell off to the lows of this bigger downleg. The SPX 855/60 level is good support for now and is the mandatory test level.

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~ by behindthematrix on November 12, 2008.

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