Elliott Wave Stock Market Update - August 13

Seems like the market has bottomed for the B or W2 wave and now we will see if the current wave is a C or a Bullish W3. An ideal ABC would top at 1968 and then reverse hard or go into another zig zag. But if this wave can get very bullish and get the resistance in the 1973-78 area, we will most likely see the all time highs being challenged. The daily MACD seems to have bottomed and is looking for a bullish cross, this after resetting itself for almost a month from an overbought position. So despite the bearish trend in the market, this counter rally has the potential to turn into a strong bullish wave. Things will start favoring the bulls if the market can turn the Trend Average bullish and close convincingly over the 50 DMA, currently at 1956. I sold Gold today for some profit and looking for the next set up to get back in. Too bad the SP decided to go into my target buy area in after hours last Thursday.. I'd up almost 3% by now.

For further analysis on the NASDAQ, DJI, RUT, Gold, Silver and Oil please visit http://www.ewaveanalytics.com


Short Term Trend = Bearis Trend being Challenged
Medium Term Trend = Bearish

Long Term Trend = Bullish

* Trends are not trade signals. Trends are posted for situational awareness only and does not take into account wave counts, technical or fundamental conditions of the market. While mechanically trading the posted trends is feasible, keep in mind that these are lagging indicators and as such are prone to whipsaws and I personally do not use nor recommend them to initiate or close positions in the market without taking into consideration other factors.