There are two circles; one centered at X (Oct 27th high) and the other centered at A. (Oct 4th low). Some interesting relationships to note:
- XB is 90 degrees to AX. B intersects circle X at the project December 7th 'Energy Date' which is vertical to Pt. B. This forms the Pythagorean triangle AXB
- The two circles intersect at C and D. Chord CD is necessarily parallel to Radius XB. CD is the center line of the mystical 'vesica piscis' which is a well known image in sacred geometry.
- AB forms a chord across the circle X which is the hypoteneuse of Pythagorean triangle AXB.
- Project a line from X to form XE that is parallel to chord AB
- Project a line DE that is 90 degrees to the Chord CD that is formed by the intersection of the two circles (X & A)...the vesica pisces.
- Note that the recent rally 'climbed' DE and broke on December 8th--one day after the projected December 7th Energy Date.
- If the market is going to rally into the projected Dec 19-21st date it will obviously have to overcome the December 7th high. (see Gann lines below)
- If the rally is to materialize it will have to break out of the confines of circle X. The circumference of X will be touched by price tomorrow. In other words tomorrow's action and Tuesday's opening is critical.
- If wave 3 is equal to wave 1 the target is 1376.55--slightly above the May 2nd high of 1370.58