Neowave counts on US index - DJIA

Neo wave perspective on DJIA

US markets has shown unprecedented rise from the lows of 6500 seen in March 2009. The below chart shows the Neowave countings and the Diametric pattern it has been forming.

DJIA – Weekly chart

Diametric patterns are 7 legged corrective structure. Due to complexity of this pattern the prediction prior to its occurrence is difficult to predict. However as the pattern is nearing its completion the wave structure gets very clear. The pattern has reached a matured stage but since we are talking about a trend lasting since 2009 Time and price leeway is very important.

Also look at the volumes that has constantly reduced during the entire up move which further confirms its corrective nature. Nevertheless the trend will be up unless 15500 is broken in faster time.

Diametric pattern has similarity of price and time which can be clearly seen above. On upside 16900 – 17500 will be the important levels to watch!

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