Stock Market Update - May 23

The market came within a point of making an all time high and the H&S pattern looks like a failed pattern at this point. At the same time, we need to see a strong bullish W3 to break out of resistance and clear the range the market has traded for the last few weeks. I posted a daily chart to point out the Rising Wedge in place, a break of the trendlines on either direction will point to where the market is headed in the next few weeks or even months. But as a pattern in itself, the Rising Wedge or Ending Diagonal is a bearish pattern.

I came close to stopping out of my positions. And in all likelihood, the market will probably make another all time high next week but until that happens, I am staying put. I guess it makes the long weekend even longer! lol.

Have a Great Weekend!

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

Short Term Trend = Bullish
Medium Term Trend = Bullish

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.