Analysing Failure

Which failure?
Yes,there have been many during this upmove of 5033-5350*
And behind all these failures was only one reason. This upmove was  seen as a retracement of 5348-5033 --either as abc or as WXY--- with the result that instead of looking for opportunities to go long, I was looking for the opportunity to go short. The only long call given was on EOD 26.7.2012 with a target of 5160(from the low of 5033) and it was that one good correct call that has kept the August balance sheet in green----
The pattern being followed was:

And based on this pattern, I was looking for opportunities to short as soon as we crossed 5160. And all of them saw stop loss getting triggered.
And today,when 5348 itself has got breached, we have to put the downmove 5348-5033  in focus and try to figure out where the fault lies.

This downmove of 5348-5033 was seen as a 5 wave Impulse in following way:

(i)=5348-5218=130

(ii)=5218-5267=49
(iii)=5267-5076=191 has very clear fractals:
5267-5169=98
5169-5257=88
5257-5108=149
5108-5144=36
5144-5076=68
(iv)=5076-5126=50
(v)=5126-5033=93 
Thus (iii) was extended vis-a-vis (v)

Now the above labels have only one minor aberration that both (ii) and (iv) are shallow retracements. But the shallowness of (ii) has been compensated by deep subwave2 of (iii).

Some of my friends had been suggesting it as a zig-zag abc in following manner:

But even today, when we have come above 5348, I fail to understand how it can be a zig-zag like this when its a=5348-5172 is a 3 wave form? Or should we start considering zig-zags as 3x3x5 forms also? And if we have to go by "visible" wave forms then current scenario would look something like this:

In the end,the most prudent answer that I give to myself is---- we have to follow the correct guidelines,market may or may not follow it. 

Also, over-reliance on EW may have its own pitfalls so better to find other TA supports as well.

Raghu