Again, upwards movement has continued exactly as last analysis expected. The Elliott wave count has support from classic technical analysis.
Analysis has expected upwards movement, which has continued all week.
Today’s analysis looks at measures of internal strength of the market to determine if this bounce should continue or if it could be complete.
Downwards movement for Friday remains just above the invalidation point and on the support line.
Two alternate Elliott wave counts are published for members today.
More downwards movement was expected for the short term.
Upwards movement was again expected to continue but did not happen.
There are three Elliott wave counts today. Classic technical analysis favours the first two.
Upwards movement continues as the main Elliott wave count expects.
A strong new signal today from On Balance Volume supports the main Elliott wave count.
Price continues higher exactly as the Elliott wave count expects.
Members were warned at the end of last week to look out for strength in upwards movement. With a strong gap higher and an increase in slope of upwards movement, that is what is happening so far.
An outside day fits all three short term Elliott wave counts.
Volume, On Balance Volume and the AD line will be used today to determine if the consolidation is likely over or may continue.
A green daily candlestick was expected for Friday’s session. Although the candlestick printed green, the session saw a lower low that was not expected.
Overall, the Elliott wave count remains the same with price remaining well above the invalidation point. The AD line and On Balance Volume continue to support the Elliott wave analysis.
A consolidation was expected to end about 2,769. Sideways movement overall fits the form of a consolidation, although it has turned out so far to be more shallow than expected.