Identified support at the last gap remains open today, but only just. A clear price point is given to members, which will indicate a change from bull to bear if it is passed.
Today’s small shallow correction fits the overall expectation of the main Elliott wave count.
Downwards movement continued for Monday exactly as was expected for the short term from last Friday’s analysis.
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.
Some more downwards movement, at least for the start of the session, was expected. This is exactly what happened.
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.
Yesterday’s main hourly Elliott wave count expected a low was in place and price should move higher the following session. This is so far exactly what is happening.
The AD line gives a very important signal today, which should not be ignored and will be given weight in this analysis.
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.
Upwards movement was expected. The market opened on a gap higher and thereafter moved lower, remaining above the short term invalidation point on the hourly chart.