Wednesday’s trade brought in stronger selling initially triggered by the CPI number. Included in today’s update are updated an Elliott count and discussion of where we are within the initial 5 wave sequence down off of the all time highs. I also have added Fibonacci extensions to give support levels for the completion points of the current decline. Expectations remain for an additional decline into support at 4041, 4034, 4028 and then 4012. Once complete look for the start of an A-B-C bounce higher.
May 12, 2021