Stop-n-go-short level raised slightly to 1658.26. The Score is neutral and likely to stay neutral-to-bearish with SPX in the 1650s and 1660s. Today's triangulation/consolidation likely calls for one more small spurt but the next downleg should begin if it doesn't spike hard as a wave 3 to the 1670s. It's possible we won't know for sure until Monday morning. Like I said, I am entertaining the idea that this is wave 4 from 1710 in which case a w5=w1 double bottom at 1639ish or a brief touch of 1625ish would be the ideal technical setup for one last multi-day dead-cat bounce to 1660-1680. However, hourly RSI has now grinded a little higher which makes a wave 4 call very borderline and I'd say unlikely if SPX goes much higher. I suppose the most immediately bearish scenario would be a continued choppy rally into the Friday close or Monday morning which stops in the 1660s or 1670s. The next 2 weeks could be brutal with a wave 3/C down if that occurs. Good fortune.
P.S. just looked at Dow DRSI and it still shows wave 4 RSI below wave 2 RSI and Dow has been leading in recent weeks. So, I think a wave 4 ending today or early Monday not much higher than now is still a real possibility.
A couple of factors suggest a rising market next week: the two days prior to the labour day weekend tend to be strongly bullish, and month end is next Friday so funds should be next buyers during the week. Doesn't always work out bullish but odds are favoring a rising market next week.
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