Ending Diagonal Wedge on Stock Indices

Just as we the Wilshire 5000 is approaching the major price projection confluence shown here in the previous post, the chart below is displaying what appears to be and ending diagonal pattern. The ending diagonal is pretty much the same on the SPX and other major indices. If this is the correct count, the market should have a pullback followed by another rally to new highs which would likely top out in the 4/3 to 4/5/13 time frame. Whether it's an ending diagonal or not, whenever this 5th wave ends, the market should have the biggest correction since the Nov 2012 low.

Kim Rice 3/31/13

Wilshire 5000 Price Projection

As shown on the chart below, there is quite a confluence of projections and trend line resistance that all line up in the 16,630 area (+/- 50 pts). That is less than 200 points away from the 3/11/13 close. If the market runs up to that price area, I would think it should mark at least a short-term top and possibly THE top for the entire rally from the 2009 low. If so, the expectation would be an eventual move for wave E that goes below the low of wave C (the 2009 low).

Kim Rice 3/11/13