As suspected, the wave from yesterday has evolved into a W3 and the next resistance level at 2076 is expected to be challenged. I assume the area from 2076 to 2134 will be hard to clear without a meaningful correction but given the fact equities have been in a correction for almost a year, we could see prices slice through these levels. The bottom line is higher highs should be expected and the LT W5 scenario is now looking very likely.
For an more elaborate analysis of the current wave please visit http://www.ewaveanalytics.com The current rally in equities and oil was called almost perfectly over a month ago on that site.
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.
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