Another candlestick pattern supports the main short term Elliott wave count.
Today’s signals from On Balance Volume, the AD line and VIX all point to the same direction for price next.
Three short term Elliott wave counts are provided for members to consider all possibilities.
A small pullback remains above the short term invalidation point.
The AD line gives a signal today.
Last analysis expected upwards movement for Tuesday’s session. Price moved sideways in a small range to complete a doji candlestick, neither confirming nor invalidating yesterday’s analysis.
Upwards movement was expected for the last session, but this is not what happened as price moved lower. However, price remains above the invalidation point.
A new short term Elliott wave count is considered today.
Last analysis expected that a pullback was not over. Downwards movement for the start of the new week fits this expectation.
A signal today from On Balance Volume and VIX gives an indication of the direction for tomorrow. So far price is behaving mostly as expected, and the Elliott wave count remains the same at the daily chart level.
Last analysis expected upwards movement. The whipsaw invalidated the hourly wave count, but price remains above the daily invalidation point.
The AD line, VIX and On Balance Volume all give the same signal today.
Yesterday’s analysis gave a target for downwards movement at 2,637 to 2,635. Price moved lower to reach 2,625.41, 9.59 points below the small target zone. From there it bounced strongly higher, which was expected.
Upwards movement continues as expected from the main Elliott wave count. This wave count has support from classic technical analysis, particularly signals from the AD line and On Balance Volume.