Last week on the weekly interval we had the following confirmation of W-4 by the low breaking the previous weeks numbers:
Daily Constructive trend change warning which stood at 1216.32
D012 Wave Constructive Superposition Break Confirmation which stood at 1218.76
As previously pointed out we have broken on the deci level first, then daily and now weekly. This is the way fractal waves work, and we only have one more weekly fractal confirmation left on the weekly level, which is our main support for this week, the d123 Weekly trend change confirmation at 1172.90.
The weekly interval Reanalyze and stop loss level moves down to 1260.17.
The overview - there are 4 horizontal lines which I have not bolded but they give us a big picture view of the gaps in price, and last weeks low was supported on the blue one. Once this is broken then prices will move down to the yellow one. From the time view this will happen before the end of next week.
In detail we can see clusters of numbers which are derived from the cyclical analysis. These are called cyclical support and resistance.Few people understand how fractal waves work, and how to apply wave superposition. That is what gives you price and time objectives which allow making trading unemotional, you are your biggest enemy, so this is critical information to allow you to control your expectations.
Human nature is to do as little as possible for as much as possible, and depending on how many fractals you choose to follow doubles the workload every time you go down one fractal.
As a result most investor only use entries / exits and Stop losses based on pivots - which is called pivotal support, as it is easy, and accordingly is incredibly risky. Bearing in mind you are your own biggest enemy when it comes to investing....... you are only setting a price objective and have no idea of timing and no idea of which pivot relate to what size waves! So you are setting yourself up for totally unnecessary stress and frustrations when your expectations are not met!
You should be able to see three clusters of cyclical numbers around the pivotal numbers (shown on the right - these are derived as the highs and lows on each fractal scale). Major resistance around 1225.81, support around 1202.13, a loner at 1191.08 then another cluster of pivotal support 1182.20 and 1180.20 just above the yellow horizontal line talked about previously.
This gives you this weeks expected trading range if your Indicators have confirmed that by now, which many have still not!
We are on our way to retest the December low which MAP Wave Analysis has already given us a 80% probability on the deci fractal nearly 2 weeks ago!
So to manage your expectations what is going to happen is the daily and hourly analysis has no confirmations yet that c-3 is in.
To compete c-3 we need to have a break last weeks low of 1215.42, head on down to make c-3 around the 1202 cluster.
That will be followed by the 1225 area to make c-4, and then off to the 1180 area to complete wave d-3.
This will play out before the end of next week, but without cyclical analysis you actually would have no idea of time, nor the inter relation of which levels come in where which is why most people only use these well after the fact to justify their subjective analysis, and you may get it correct sometimes, but watch those you follow and work out the probabilities of their accuracy which is often easy enough because weekly they change their views from bullish to bearish and by the time they have the correct trend it is already at the top or bottom so you enter at the wrong time and many eventually give up if they have not by then lost their life savings!