Tonight I present the Alternate count which is labeled and represented on the NQ chart. I’m including it should the markets have another stronger down day it could invalidate the current preferred counts. I revert the labeling on the NQ back to the preferred and review today’s trading. There is a fair chance the both the NQ and ES have completed their respective 4th waves at today’s lows. If this is the case expectations would be for a strong thrust higher to occur which would kick of the respective 5th wave rallies – which ultimately would take the markets to new highs. However, another strong down day could invalidate the preferred count and shift both markets over to the alternate which is presented on the NQ tonight.
Tomorrow pre-market @ 8:15 AM EST – ADP Employment, @ 8:30 AM EST – Initial Jobless Claims, @ 9:45 AM EST – S&P final U.S. Services PMI