A brain dump of charts

This post is basically a brain dump of ew labels for some of the bellwether stocks.

1) AAPL

The ew labelling is on the left on a 3 year weekly chart. The longer term monthly chart is on the right. Look at the volume in the last 3 months and the 20 month moving average right above.

2) GS

Nothing much to add, the chart speaks quite loud in our opinion.

3. DIS

We have superimposed black lines on the action to illustrate what we think is a triangle formation. We cannot count 5 waves down in the recent 2 years in disney, which leads us to choose this labelling. The alternate count is disney is currently in its fourth wave (but it seems a stretch to us) so we will keep it as above. Here the target in the next year or so is in the 30 region.

4...

We'll add some charts to this post as time goes on. If you want any long term charts let us know.

Common theme and a rant (feel free to ignore):

Now lets step back and look at the fundamentals behind the economy. Quite a few chartists believe,everything is in the charts. According to us partly true, but we simply cannot digest that our history completely governs our future. Sure it has a part to play but our actions hence too play an important role. For more about our model see (http://maybeitsclarke.blogspot.com/2009/05/time-again-to-short-gold-stocks.html).

What we are trying to say is this - In most of the charts above we have labelled 3 waves down, upto the march low. Technically, by elliott's theory it is a "completed" correction wave structure. The question is it the end of the bear?- the answer is in theory there is a tiny possibility that it is the end of the bear market (in nominal terms), but surely not in terms of real money. For e.g. say the govt tomorrow starts actively employing the zimbabwean school of economics and prints and doles out sums of money to everyone. Can the inflation lift stocks? In nominal terms by all means.

So keeping this in mind, lets look at what is more likely to happen? The govt continues to throw money at the problem, though nowhere near the pace of zimbabwe. So what we may get is a 4th wave triangle. That would mean we trade in this range another 5-10 years. We are now in a 'd' wave. This gigantic triangle takes about 15-20 (2001-...) years to finish. This is just a caveat type of thought at what the chart could morph into - like the chart of taiwan or the nikkei (in terms of dollars) - a 20 yr triangle/pennant. So as everything take it FWIW. Lets keep an open mind is what we are advocating.