Monday, August 18, 2014

Elliott Wave Stock Market Update - August 18

The market made another high for the structure today and it is now looking like a bullish nested 1-2 that should easily rally past SP2000. The NASDAQ made a 14 year highs today and it might lead other indexes from here. So unless something disastrous happens in the next few days, bulls are going to make another run for the next few weeks until the next top. I've lost count of how many 1 wave corrections we've seen in the last couple of years but it seems we've seen them as often if not more than the traditional Zig Zags. Whatever the case, just keep an eye on the TA and we should be ok.

Also, I should add we issued a very well timed short for the recent correction and we recommended covering shorts the day before the rally started on Obviously, we're not always going to pick exact tops or bottoms but I think our analysis has a good combined value.

Short Term Trend = Bullish
Medium Term Trend = Bearish Trend being Challenged
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.

Elliott Wave Analytics

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