Elliott Wave Stock Market Update - October 30

The 2100 hundred level was challenged in pre-market but the highest the market could go in cash was 2094 before selling off towards the end of the day. There is still a chance for one more push on Monday towards 2100 again before a correction to the Trend Average/200 DMA. I didn't get a chance to buy back shorts today but maybe I'll get a chance next week. I don't think resistance will break without a minor correction first given how much the market has rallied in the past month, officially the best month in 4 years!

Have a great weekend!

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish trend being challenged 

* 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 Stock Market Update - October 29

The market went into consolidation mode today instead of rallying as I was expecting. Still, a higher high was made and we could see the wave evolve into an ending diagonal to challenge the 2100 area. The market has gone up 12% in just 4 weeks and it's not inconceivable to see it rally 2% more for a new all time high before a proper correction. The biggest challenge for the bulls is the 2103-2134 area, if they can clear that then they're good for much higher prices towards the end of the year.

I watched most of the debate last night and I have my list of favorites. However, it doesn't look like they will win. Here are my impressions of the candidates.

Trump - Seems like he has toned it down a little. He just talks a lot about himself in detail, vague plans as a President.
Carson - Seems very analytical, which is good. However, his tax plan doesn't add up. You can't tax GDP at 15%, close "loopholes" and then magically pay for the budget.
Fiorina - I would pick her any day over Hilary and she is my favorite among the Washington outsiders. She has the facts down and is very detailed.
Ted Cruz - I'd hire this guy to be my attorney and he would be excellent as an attorney general. Very sharp but too right wing.
Rubio - Very good talker (reminds me of Obama actually) but his personal finances shows he is not ready for the job he is applying for. Who cashes our his IRA to incur penalties after receiving $1 million in book royalties?
Huckabee - Honest man but too conservative.
Rand Paul - Agree with him the most in principle
Bush - He shot himself in the foot by going after his former protege, shows judgement issues.
John Kasich - Has the experience, knows how things work and he is not deceiving the public like some of the others.
Gov Christie - Has the experience, gets things done, realistic and actually acknowledges global warming. He would be my first choice for the job but unfortunately he is too honest for the general public (people don't like to hear the truth).

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish trend being challenged 

* 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 Stock Market Update - October 28

The market had a strong day as expected and now it is getting closer to the resistance level I mentioned yesterday. If this wave is sub-dividing (it looks likely), we should see a gap up or continuation of the rally early tomorrow morning. Perhaps news of the budget deal will give bulls enough of an excuse to push against 2103.

I am looking forward to the debate tonight. If Jeb doesn't get traction, he will be gone and it will come down to the Doc and the Clown. They might even team up to make America great again!

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish trend being challenged 

* 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 Stock Market Update - October 27

The correction continued today but again prices did not move much and short term oscillators have now reset for another bullish leg. I am looking at 2103 as the major point of resistance, so we'll see if the bulls have enough momentum to carry the market there. Once a short term top is found again, I expect the Trend Average to be tested. I'll probably buy back the shorts I sold last week as we get closer to resistance.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish trend being challenged

* 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 Stock Market Update - October 26

The market consolidated in a somewhat uneventful day. Short term oscillators are resetting and I expect another rally soon that will challenge the 2100 level, which is where the next major resistance level is. October is almost over and the SP500 is up less than 1% in 2015, so we'll see what the bulls can do for the next couple of months. I remember my original projection for the SP500 for this year was 2250 in December 2014 (as long as there is no recession) and we might see the market get there if the rally starts gathering momentum.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish trend being challenged

* 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 Stock Market Update - October 23

The market breezed through the 200 DMA as if it didn't exist in another very bullish day.  I had expected the 200 DMA to be challenged in the best case scenario under the count I was posting but since the market is showing signs of a W3, I have to re-label the count. I mentioned the possibility of a very bullish count when the market bottomed at 1990 couple of weeks with this bottom as a W2. I figured after a 100+ point rally at that point, the more reasonable label would be a W4 for 1990. But it now looks like this current structure from 1871 is heading much higher before a significant correction. In fact, there is enough momentum to reach an all time high on this wave.

When the stronger correction was predicted in August (around the time the intermediate term turned bearish), I felt the 1820-1900 area served as a good area for a LT W4 to bottom. I expected the correction to take longer and perhaps challenge the 1820 level. But instead it seems the LT W4 was a one wave correction to 1867 as it now looks very unlikely we will see stronger sell offs in the near future. So my expectation is for the market to rally the rest of the year and perhaps most of 2016 as well. Interest rate hikes look even more unlikely now that the EU is hinting at more QE and China continues cutting RRR,  these factors support a worldwide rally. So don't be surprised to see new all time highs now only in the US but in Europe and China.

I covered my shorts at the 200 DMA as planned and I am not shorting this until the new count is completed. In the meantime, I am hoping China continues to rally in what continues to look like the start of a W3. Maybe I'll get lucky and reach my retirement goal by summer 2016.

Have a great weekend!


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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish trend being challenged

* 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 Stock Market Update - October 22

I was wrong in assuming 2039 was the top of the count as prices easily broke resistance early morning. The next obvious challenge is 2060, which is the 200 DMA and if that breaks then there isn't much resistance until 2100. I moved some labels around to reflect today's rally but if the rally gets past 2060, then I'll have to consider something else. The bias has been right but the count is starting to look suspect.

I am assuming the positive earnings announcements after the market closed will push prices towards resistance tomorrow. I am ready to sell the shorts I bought at 2030 if the 200 DMA doesn't hold but I I will be buying them back later for a third try. At this point, I think most bears are starting to realize their time is over.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish 

* 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 Stock Market Update - October 21

The 2039 level has held as top and today's selling supports a completed count. The next level to be tested and which can possibly end up being a bottom is 1990, so I will probably cover my shorts around that level. Assuming there is a zig zag correction to the entire structure from 1871 to 2039, we could end up with a Head and Shoulders forming with 1990 as the neckline and an ultimate target of around 1950. Perhaps headwinds from China or bad earnings can serve as a catalyst for this coming correction.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish 

* 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 Stock Market Update - October 20

The market reached and peaked at the 2039 resistance level I've been mentioning for few weeks. I had originally expected this level to be challenged back when the market topped at 2020 but it took an extra month to get there. If the market is able to get past 2039, then the next stop will be the 2055 level. Technically speaking, there are enough waves to call the top today but there might be a little more left for one more push.

I also added a bit more to my China position, so hoping that market will continue going higher now on a second "bubble" rally.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish 

* 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 Stock Market Update - October 19

The market seems to be completing the count posted, so not much to add today. It's still early to say but unless the market plunges to lower lows (which looks unlikely at this point), we should expect a strong rally to come after the coming correction is over. We are about to enter a seasonally bullish period and the absence of bearish catalysts is enough of an excuse to continue the rally.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish 

* 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 Stock Market Update - October 16

The market has gone into 2030+ territory as I had originally speculated when 1950 broke and now the structure from 1871 seems nearly complete. If we assume W5=W1, we get 2046 but technically speaking the top could have been the close today since there are enough waves and W3 is more than 130 points. An ideal correction would be a sell off to test the 1950 level but it might not even get there given the overall bullish sentiment in the market. China, which is one of the markets that preceded the sell off in the US is now up 20% since its low in August and looking to confirm their correction is over (trading over its 50 DMA for the first time since June). Also other global markets are rallying overall, so unless this is a strong counter-rally, there is a good chance a global rally for the remainder of the year.

I know many people have been waiting for a bear market for years and I am sure one is coming sooner than later. But it looks like it won't be until next year or 2017 going by the lack of bearish advance on this recent selling opportunity. As long as profits expand, there is not much of an excuse to sell.

Have a great weekend!

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish 

* 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 Stock Market Update - October 15

Yesterday I mentioned how the correction had been looking suspiciously like a 4th wave and today we got confirmation with a higher high. I moved the (iii) label to 2022 and I am assuming 1990 is (iv) with (v) underway. The question now is whether this (v) will sub-divide and reach 2039 or the 2050 area. I haven't bought back my short position yet as I am waiting for 2030+ to lower risk. I did however buy silver to hold for a while as there are signs of a long term bottom.

There are only couple of more weeks left to trade this month and bear's chances are looking dimmer by the day. The intermediate trend turned bullish today and the long term trend will also turn if the market starts trading north of 2060.

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


Short Term Trend = Bullish
Medium Term Trend = Bullish

Long Term Trend = Bearish 

* 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 Stock Market Update - October 14

The market has continued to correct as it was expected when the count completed. However, the lack of impulse to the downside while short term oscillators are being reset are indicative of a W4. So if selling doesn't get traction in the next couple of sessions, I will re-label the count and make 2022 the top of (III). Which implies higher highs once the correction is over. If the market sells off, then we can confirm the completion of the 5 wave count from 1871 and look for an appropiate Fib retracement level.

I am still hoping to short the market if there is a higher high. But in the meantime, I think I will be buying some silver or gold on a pullback.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish trend being challenged

Long Term Trend = Bearish

* 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 per

Elliott Wave Stock Market Update - October 13

The market made a higher high as expected and the count is technically complete. However, the 2030+ area was not reached and I am not sure if there is room for one more impulse before a correction to the Trend Average. Also, the intermediate trend is about to turn bullish unless there is a bearish miracle in the next few days. I was hoping to buy back the shorts I sold last week but I might end up just giving up on the positions for now if a higher high is not reached.

I am going to try to watch the debate tonight but it's not like I'm too enthusiastic about it. You have a power hungry woman that will do and say anything to get elected and a communist as their front runners, so not much can be made out of that. I used to think that Jeb Bush was going to win for sure but I think it might just be Trump at this point. Not because he has great ideas, but because he has been able to manipulate the public and the media the best. Similar to Obama in the sense that he was able to get a lot of support despite a thin record in politics and zero business and organizational experience. The race next year is going to be entertaining for sure, this whole thing reminds me of the movie Idiocracy.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 per

Elliott Wave Stock Market Update - October 12

The market consolidated today and reset some of its short term oscillators, which lines up well with the count posted. Assuming we see the wave complete in the cash market, we should see a higher high in the next couple of sessions before the start of a bigger correction. I like the 2030+ level as the top, so I will be buying back the shorts I sold last week at a big discount if I can catch them at that level. With that said, I am now just expecting a correction as opposed to a lower low or 1820 given the length of current bullish wave. I know some people want a bigger correction but bears are simply running out of time.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 per

Elliott Wave Stock Market Update - October 9

Earlier this week I posted the following when resistance broke:

"The market kept rallying today in what seems like a bullish micro W3 and I wouldn't be surprised if 2020 is going to be challenged before any meaningful correction"

Now that 2020 was reached, we can finally see a bigger correction. But since the 5th wave sub-divided into a 5 count, the ideal scenario would be one more push up towards the 2030 area (possibly even 2039) and then a substantial pullback. The next bearish wave is very important as it could be a make or break wave for bearish case for the remainder of the year. In order to stop the bullish impulse, bears would have to bring down the market below 1867-1871 or about 8%. Anything that fails to make a lower low will confirm a bullish bias in the market and could form a base for a sustainable multi-month rally. If the wave from 1847 to 2020 (so far) is W1 of LT 5, then the target is 2,250 assuming no sub-divisions.

I am waiting for the lowest risk/highest reward entry point to short. So I will start buying back the shorts I sold earlier in the week on trade over 2030.

Have a great weekend!


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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 per

Elliott Wave Stock Market Update - October 8

I am going to keep this one short as I am in Miami on a quick business trip  and need to wake up early for a meeting. Basically, the 5th wave has sub-divided like I speculated on yesterday's post and the targets remain the same. The 2020 level has technically been tested with today's high but looking at the wave structure, there could still be more upside left before a bigger correction. Bottom line is, bulls look like they are taking back control of the market.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 Stock Market Update - October 7

The market rallied as expected in a W5 to a higher high to challenge the 50 DMA at 1996. At this point, there are enough waves to call the entire structure from the 1871 low complete. But as long as 1971.99 holds, we might see the W5 sub-divide and reach the 2020 resistance level. If I breakdown W5 and assume the high today at 1999 was a W1 of W5, then we are looking at 2040 as a target which is right under the next level of resistance at 2053.

I assume how China trades tonight might influence the US market tomorrow. The Chinese market has been closed for a week and currently the market here has China priced at 3,400 (last time it traded it closed at 3,050). So if there is a huge rally there tonight, we will see momentum carry over. However, if there is a 5th bearish wave left to the China count as I posted yesterday, then negativity would help bears here in the US. I am waiting for 2020 or 2053 to be challenged to buy back my short position with the expectation of a larger correction. The higher the market goes, the lesser probability 1820 will ended up being tested.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 Stock Market Update - October 6

The market has gone into what seems like a W4 and this implies further upside before a bigger correction. Oil is finally breaking out of range and this will help energy components of the market, making it harder for bears to challenge recent lows. If bears fail to bring down the market to the 1867 level again in the next few weeks, chances are the correction that started in May is nearing its conclusion and we will see the resumption of the bull market for one final leg to new highs.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 Stock Market Update - October 5

The market kept rallying today in what seems like a bullish micro W3 and I wouldn't be surprised if 2020 is going to be challenged before any meaningful correction. I have been hoping for an "ideal" zig zag to 1820 since the correction started but the higher the market goes, the higher the possibility the correction is over. It seems a weaker than expected jobs report is all the market needed.

I ended up being stopped out of my short at 1956, so not much harm done. And I'll try again at the end of 5 waves or at resistance. Maybe there is still one bearish wave left to this market? China seems like it needs one more bearish wave to complete its correction and maybe that will help the bearish case here. But as it stands, bears are starting to run out of time.

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 Stock Market Update - October 2

The market sold off early morning after a disappointing jobs reports but then made a huge reversal to end up the day in the 1950-1955, the target resistance level I've been favoring since the rally started. And now that this level has been reached, the market is at a critical point since this is a resistance level that must be cleared to start confirming the end of the correction. The likely path IMO is a bearish wave early next week to test 1908, what happens then will probably decide whether the correction is done or not. Alternatively, if bulls manage to break resistance earlier in the week without pulling back then it will be a sign of strength and the market could head straight to the 50 DMA. Today's close turns the Trend Average bullish.

I ended up closing the rest of my long positions I bought at the low earlier in the week and went short in the very last minute when the market hit 1951. My stop is 1956, so not risking much relative to the potential gain.

Have a great weekend!

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


Short Term Trend = Bullish
Medium Term Trend = Bearish

Long Term Trend = Bearish

* 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 Stock Market Update - October 1

The market tested the Trend Average as expected before heading down to 1900 and then rallying back to close the day on a positive note. I am still assuming the 1950-1955 area will be challenged but the original target for the bounce was a TA test, so the market can sell off again. I ended up selling half my longs and raised the stop to break even on the rest.  The technical picture favors more downside after the bounce is over but if the jobs report comes in strong tomorrow, we could start seeing the beginning of a turn around. As I said yesterday, the economy continues to expand and the news today of auto sales being the strongest since 2005 supports that view. Therefore, we could see the resumption of the bull market fairly soon.

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 = Bearish

Long Term Trend = Bearish

* 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.