The short term form is opaque but assuming a choppy bounce today in a small degree wave ‘ii’ or ‘b’.
The market retreated yesterday at the open per plan but extended past supports finally breaking under a net sideways consolidation the S&P 500 has been in for nearly a month. The basic assumption is that market will eventually drop another 50 or so points under the low of yesterday but can bounce for a week […]
The speed of the advance in the SPX yesterday caught me off guard. I was thinking there would be a couple hour consolidation before rising fairly steadily into the afternoon. Instead, there was a minor 30 minute consolidation and creep up the rest of the day. I didn’t respect the power of gap and go.
The S&P 500 futures continued falling early this morning but have been bouncing for the last few hours. I suspect that bounce continues into the day session and manifests as a consolidation pattern today. After the somewhat sideways pattern forms, they will decide whether to save the market yet again or begin to break lower.