Elliott Wave Stock Market Update - July 21

Prices corrected down to the 2159 support area earlier in the day and the bounce from this level has created the first potential topping pattern in quite some time. A rally to resistance at 2168 should be expected and I am going to get a short position at that level with a stop at the ATH assuming prices get there in a "corrective" form. If the pullback is confirmed, the natural target for the correction will be the gap at 2134.

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Short Term Trend = Bullish
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.