Stock Market Breaks Medium-Term Support!

As I wrote last night, the Standard & Poors 500 Index was locked into a rising wedge scenario. These wedges can be found in Wave C which is what wave the stock market is looking to complete in order to revert back towards the larger trend. Today, the market went through the wedge trend line support only to retrace and be denied of any further gains. Many like to refer to this retracement to prior uptrend support as the "kiss of death" or the "kiss good-bye."

Regardless of what the wave count actually is Today, the patterns that are produced are recognizable and traded accordingly by all who see it(which is ALL professional money). One of the main reasons, in my opinion, why 90% of traders are on the wrong side of the market is because the "market-movers" being the "professional money" ie. market-makers, large trading groups, hedge funds, etc. need others to buy their sell orders without driving down the share prices. Adversely, professional money would love to buy stocks on the CHEAP as the mass public sold right into the professional monies' buy orders. With that being said, it is only logical to think that one should do their research on how markets operate and benefit from that information. The in-depth research can be done at Elliott Wave International . In my humble opinion, I believe the Elliott Wave Principle needs to be a tool in your trading and investing arsenal... and a BIG part of it!

This type of analysis is like none other, however it IS used by professional money, so I recommend learning and reading what they are trading by! It will greatly improve your sense of objective awareness in market moves, and gives one the ability to prepare for potential DOWNFALLS as well as UPSWINGS.

You can learn about the Elliott Wave Principle by clicking on their ads around the page or you can Click Here!

Make sure and grab their FREE Club EWI account after the article for the best possible stock market information! I highly recommend you do. Get in contact with me if anyone has anyone concerns/questions!

Trader Brandon