Elliot 'Tidal' Wave in September

For Elliot Wave technicians--speculators and/or investors who chart the stock market--the "doom-and-gloom" scenario is upon us. These charters are not the biggest money makers in the world, but they tend to have different scenarios based on chartflow. I can't explain, I don't care to understand it, but they seem to know what they're doing.

In evilspeculator.com, I followed this for awhile last Spring. He would sometimes forecast a drop and, at other times, a rise in the market. I realized there was no particular answer but more like scenarios that determined a rise or fall--so it was difficult to say one way or another what would happen.

However, in April or May, the "evilspeculator" said he knew the stock market would reach nearly 10,000--possibly hit it over the summer--and then take an extreme fall. I've seen his current chart and although he's not exactly sure which scenario the market will take for a precipitous drop, EVERY SCENARIO SAYS THE MARKET WILL TAKE A PRECIPITOUS DROP IN SEPTEMBER. That makes one take notice and so I have.

Also, Peter Brimelow of Marketwatch.com took notice in Elliott Wave pulls plug on stocks (and Obama). I suggest reading the article.

Normally, I might say the Elliot Wave would be correct--maybe it will be. However, there is so much manipulation in the Fed funneling money, accounting changes, media spin and overall value uncertainty, that any predictions can be difficult to make on the market at this time.

That said, with commercial real estate clearly catastrophic at this time, a residential housing market that still has farther to fall, insolvent banks needing more money for reserves, many more smaller banks failing and the end to summer jobs and consumer spending (i.e. outdoor recreational activities, buying houses with tax credits, home improvements, decorating, new home furniture and/or appliances, new "cash for clunker" cars, vacations, back-to-school purchases), it is time for the country to draw back and keep spending down for the holidays--as consumers did last year.

The crash is coming--the question is when. Hopefully, the market can get to 10,000. I am by no means an investment advisor, but I do know when it hits 10,000, I don't care how much higher it's going, I'm going to get VERY CONSERVATIVE. Hopefully, I don't get too greedy waiting for it to get higher before the bottom drops out. The scenarios might tell the true picture, so it might be a good idea to keep an eye on http://www.evilspeculator.com/ at least for next month.

For now, as the song says, "See you in September."