1st Aug 2014

The volatility has kept EW counting very difficult, but the level at which I expected a support has been honored by prices and a bounce has occurred.  Time wise, I believe that we could still be on a 3rd wave and a 4th and 5th wave still to form.  With support being hit but time still available, I can't say with certainty that we should still see further downside.  Our ST suggest that this is the case though and I will stick with this scenario until otherwise.

MT: DOWN
ST: DOWN
PA: DOWN

This week has seen many technical breakdowns, and its not only limited to the moving averages.  First off, the weekly indicators have come out of overbought which has been in that range since April.  Adding to that is the Monthly candle that has sported a reversal negative candle.  This has implications for the longer term view, but I am no inclined to change my Market outlook until I have certain proof of a weakening momentum with a reset of indicators and price and with a lower high outcome.