One thing to note though that I had posted on Twitter last night, is that the percentage of stocks above their respected Moving Averages has now entered the OS area. This tells us that there is a risk.. Again, there is a risk but not a guarantee that prices could accelerate to the downside. We can confirm this with an impulsive move and an entrance into OS territory by the SPX. So only then when your indicators are in sync does it have a better chance of happening.
There is many chatter of "RISK" to the market. Therefore we must stay vigilant on what the signals are saying and to follow those signals with their respective time-frames. Many make mistakes when pulling a trade using one time-frame to enter yet have no plan or idea which time-frame to use for an exit. With volatility coming into play, now is the time to have a plan before any market opens for trading.
I do not know how significant todays low is, but it has exceeded the lows made on the 26th of May by a few pts. Therefore on an EW basis the impulsive move up on the 27th of May is not a wave-1, which can only be explained by a Wave-A due to an impulsive nature. So if todays low can be considered a B-wave, then we should be seeing a C-wave rally UP. The question now is if the C wave will equal the A-wave or if it will make 3 distinct wave up.
If we are looking at these micro counts as a process of a 2nd wave, then the C-wave rally should end with a 3rd wave push lower with a emphasis of a quick corrective rally for 4th wave and finished off by a 5th wave as seen below on the 15min. chart. The alternate count from the all-time high could be an a-b-c correction as well.
MT: DOWN
ST: DOWN
PA: NA
Bearish View: 15Min.
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