Even though 1180ish hasn't been breached yet I'm leaning towards the bullish scenario, i. e. new highs above 1220 later this year.
I expect wave 3 to peak between 1220 and 1250, followed by a sideways wave 4 consolidation and finally an end of year rally to 1300ish to complete wave (1).
Below you can see my bullish long term count. Can't remember when I posted it last time so I thought it's about time...
Basically, it's a copy of the bear market in the 60's/70's. So, first, I expect a new all time high (!) at around 1600 anytime next year or in 2012 and then a new bear market low below 666 late 2012/13 (12/21/2012 possibly?... : ) ).
At first it may look a bit unlikely but at second glance it isn't that unrealistic: A new all time high sponsored by the FED and once the high is reached the whole system blows up...
Have a nice week and feel free to comment or write me an email to admin|at|wavaholic|com.
Hugo
