Here is an interesting story. While writing the topic above I was thinking about what chart to show this weekend. Then I noticed that the second date is a palindrome or in some way it is 'symmetrical'. Then I recalled Jim saying that sometimes ABCDs like to be symmetrical around certain point. Then I started digging and ended up with the following chart:





We may see that the BC leg of our current bearish ABCD, which was an ABCD itself was perfectly centered both in price and in time around its 'hub of the wheel' point on August 17th at around 1082 level.
To share the same characteristic the big ABCD should end on September 29th at around 1162 level. What's more interesting - this point is pretty well justified geometrically. Very curious.

Originally posted by jarek

This might be a tough area to overcome...

So we had a test and retest with a bull trap and down it should go. If not, that would also be quite a hint:

Failure of this bearish ABCD would be a sign of troubles for bears lying ahead:

No failure = no immediate trouble. It played out, but only to 1.272 at line and bounced strongly. Bulls are not giving up yet:

Nice chartwork, jarek. Another day of 'the jarek show'... Where is everyone???

The bearish ABCD above was also a BC leg of a bigger bullish ABCD. Its CD leg looks ugly but so far it is playing out nice and now comes an important test at the downsloping upper ML:

One has to admit that this looks more and more like TL creep at this downsloping upper ML so the upside breakout should be expected here

It reversed right at the line one time. There is also a spike line so a green set should come into play:

I don't think the green set will play out this time, I think it is up and over time from here on this tiny checkback.

Watch this DT here to the tick, in case jarek's green set is going to come into play.

Is there a reason it is not breaking up with so many chances for it?

Thanks Jim. Have a good weekend!