Shorting Bank of America. BAC

7 Jul 2023

Multiple Harmonics within a channel identified. We have changed the tune somewhat to harmonic theory of market action, but this is not a move away from Elliott. At the end, Harmonics are another or roundabout way to describe Wave action in the markets. For instance, this picture does fit WXY type corrective pattern, if we allow the current formation post a low at 26.33 to be X Wave. It is our opinion that individual indicators should never be the sole reason to put a position down, rather only act as supporting evidence what is seen through masterful Elliott Wave counts or accurate depictions of harmonic patterns.

We are not in the business of getting every prediction right, no one ever does and that is not the aim of the game. The Fibonacci targets are highlighted in green with invalidation in red. Confirmation level, where relevant, is a pink dotted, finite line. Fibonacci goals, it is prudent to suggest, are nothing more than mere fractally evident and therefore statistically likely levels that the market will go to. Having said that, the market will always do what it wants and always has a mind of its own. Therefore, none of this is financial advice, so do your own research and rely only on your own analysis. Trading is a true one man sport. Good luck out there and stay safe.