17 Oct 2013

As mentioned yesterday, we had a reactionary day today and that could have been a double reaction.  The reason why is that we accelerated to a new high in the SPX and met a resistance on one of our angles.  The patterns does not seem clear, but one thing is for sure.  We have been on an ending diagonal pattern the last few days.  We must respect the pattern and see what comes out of it.  On a indicator perspective, we have an overbought situation now for a few days on our intra-day chart.  The move recently has not given us any way of a corrective pull back, so the question is will we see one soon.

Today Cowan issued a statement on his site:
"Mr. Cowan's 2013+ forecast listed 3 dates as critical in 2013, Mid-May, Mid-August, and October. The indices have made triple tops on these dates!".

So, we should see if there is something regarding his forecasted date today.  For now our trend is our friend...

Main-Trend: UP (Unconfirmed)
Short-Term: UP

I showed a chart a few days ago showing a possible scenario, and if today is a top of some sort with a 3 wave pattern as suggested above, then we should take the count with more seriousness.  Because a drop from here would be just a powerful for a C wave of a 4th wave possible.  Also note that the DOW has failed to make higher highs (Is this a hint of sorts?).