Looks like the market is repeating itself again and setting itself up for a bearish May, just like it did last year. I hesitated to change the labels from ABC to a 5 count until the 1157 low was taken out and with today's action we see a clear 5 waves down. So unless there is some sort of bullish miracle, the market will probably just make it to the 50 day MA or the TA and really sell off from there. Currently the Trend Avg is at 1389 and the 50 day MA at 1386, so that will be a good place to sell longs (if you were fortunate to buy late last week or today) and get short or stay in cash. And again if this rebound wave tops around that level, we should see 1300 at a minimum and perhaps bottom at the 200 day MA or the 1297 level I had posted previously a few weeks ago.
No comments:
Post a Comment