CSCO follow up and important level …

last post on CSCO: https://bartscharts.com/2016/03/14/go-ahead-and-hate-csco-appears-ready-to-breakout-and-outperform/ was 5 years ago. crazy how time flies.

checking in on CSCO we are at a VERY important point as CSCO is showing the completion of a near perfect SELL SIGNAL but due to thrust, if the pattern works, would wait for a signal reversal candle below 50.

if the pattern fails then, it’s quite possible that we have begun the parabolic leg up the opposite side of the mirror image foldback. it sure has tome thrust fueling its rise so this pattern is REALLY important for the Bulls/Bears.

also, one last, if you take your AB as the all time low to the all time high and then project .618 that length from 8 dollars you smack right into the last high in/around 58.

the 50’s … appear really important for CSCO

tomorrow is either a “gap and gone” higher or a “big stiff wall of resistance” for any further advance ….

Bart

this is the current daily sell pattern “before” the market opens tomorrow on 03/29/21

Bitcoin Futures

turned bullish on Bitcoin down around 6-7K and off it went….

the past couple weeks have been interesting as it’s been hovering around the 50-60K mark.

I’m still bullish.

as for – right now – I see another leg up to make a newer high and then a BIG 4th wave correction and then another big run higher – 100K+ not out of the question.

closed my entire position at 57k ish and now am just going to WAIT and do nothing and watch my thesis shown in the chart below work out what’s going to happen next.

Elliott Wave, as I have OFTEN said, is AWESOME – when it works. it’s hard, no doubt, but learning the corrections is key.

using the guideline of alternation, looks like a zig-zag for wave two so I’ll be expecting (not a sure thing at all – it’s a guideline) for a flat or a triangle perhaps but either way, I’m going to hold …

also, note, we have some big time volatility here … so as long as the coming correction does not go below the big blue 1 then we might conceivably correct 70% and STILL BE BULLISH.

also the BIG 3 is projected to end around 68K. it doesn’t need to get up there – at all. but that target puts a very nice 3 drive to a top in play …

for now, WAIT, and let the patterns be our guide.

the ratio (XLP/NYA) is the ONLY thing I’m watching w/ regard to equities …

last XLP/NYA ratio post …above

I’ve been monitoring the ratio, daily, for a while as I really wanted the ratio to go down into the “major support” area as I could then feel probability was on my side to take a crack at shorting the market. yes, shorting the market …

if you’ve been reading my blog for a while and for those newer blog readers you will find out/know that the patterns on the XLP/NYA ratio have been exact and helpful in understanding the flow of funds in the big institutions. KEY.

so, I noticed the “key trend line” last time I blogged and noted it but, honestly, haven’t been paying that much attention to it .. just had the lower “major support” level on my hand but, the “key trend line” looks like it has tagged the ratio and provided some much needed support for this falling knife.

now what – well – we are kind of in no mans land … but, I’ll be watching closely and, keep the “major support” level a little below in the back of your head …

IWM – KEY SUPPORT

last post about IWM: https://bartscharts.com/2021/02/21/iwm-is-that-it/

that’s the great thing about patterns … they work or they don’t.

WHEN they do, they tell you something.

conversely, when they DO NOT work, they tell you something.

I’ve been showing a 5 wave count in IWM for a while and, just recently, it went up and tagged our target zone. it’s one of many target zones …

the question is “is this the one?”

I don’t know … but we have an intraday BUY PATTERN and if this is a bullish corrective move then this level SHOULD hold … yes, a correction can go into the 210’s but in this case we have the classic AB=CD, 1.4142 extension and the .382 retracement all right here, right now.

IF bullish, THEN this level holds and goes higher …. we’ll see