2 Apr 2014

We are still on an uptrend in most if not all indexes. The DOW is at the doorstep of its all-time high made on Dec 31, 2013.  This if exceeded will be bullish for the bulls, but it does not change the overall outcome for the bears.  It just mean that the DOW has finally caught up to the SPX or the rest of the market.  Maybe this is the trigger the bears need to finally call it a top.  Tomorrow will be a tell tale sign if the DOW can break the resistance or not, so this is something to watch for.  There are a few counts that can be used for an EW pattern, but mostly sub wave counts shown below. The Daily, and Weekly Upper BB line have been breached so a possible reversal can be expected.

MT: DOWN
ST: UP
PA: UP

We still remain Bullish but Cautious...