The first target was met and passed today. Price continues higher towards the second target, which is calculated from a flag pattern using the measured rule. If price keeps rising through that target, then the next Elliott wave target would be used.
Bullishness in On Balance Volume and rising market breadth all have pointed recently to higher prices.
And in yesterday’s analysis it was noted there was a Three White Soldiers candlestick pattern on the daily chart, so higher prices today were completely expected.
A quick spike up was expected to begin the week, but it was expected to move just above 2,469.64 before turning. Price has moved comfortably higher, reaching so far to 2,488.95.
A small doji for Wednesday’s session saw price move sideways in a very small range. The Elliott wave count is only changed for the very short term at the hourly chart level, and only slightly.
Price remains above the invalidation point, but the closure of the last gap and price moving back down into the prior consolidation zone puts the breakout as false. The gap was a pattern gap and not a breakaway gap.
Price remains range bound, which was expected.
Wednesday completed an outside day that closed red.
A small inside day saw price move sideways for Friday, remaining within the channel on the hourly chart.
A new all time high at the open gap up invalidated the alternate Elliott wave count providing confidence in the main Elliott wave count. The target remains the same.
A strong whipsaw moved below the short term invalidation point on the hourly Elliott wave count. However, downwards movement was quickly retraced and today’s candlestick looks very bullish.