Elliott Wave Stock Market Update - May 7

The market bounced today as expected and found resistance at the 50 DMA. If the market doesn't overcome the 2,100 level, there's a good chance it will be headed towards a test of 2039. And if that level finally breaks, then we'll finally see a good correction that will last several weeks or even months. Indexes around the world are starting to sell off and that supports a correction here in the US. Lastly, oil looks like it has topped and that will also help the bearish case. Maybe we'll finally see some panic selling!

I bought back VXX at the test of 50 DMA and looking to buy oil as well if we see a good sell off.

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


Short Term Trend = Bearish
Medium Term Trend = Bullish 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.