Elliott Wave Stock Market Update - June 20

The market broke out of its Diamond Pattern this morning and reached the expected target at 2100 before pulling back for the rest of the day. Prices followed the plan I speculated about last week by going for a lower low at 2050 and then rallying back to test the TA. Now the question is whether buying momentum can be maintained. If the micro-count turns into a 5 wave count, then the correction could be done and we could see highs for the year challenged soon. However, if the current wave turns out to be an zig zag, then we should see another leg that will take the market down to 2025.  The level I am watching is 2079.62 as a breach of this level would imply more selling ahead. I sold half my long positions at the open as planned and I raised my stops on the rest to 2079.

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Short Term Trend = Bearish
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.