S&P Futures

The persistence of this rally caught me off guard a bit but fits well as a wave (ii) counter trend move. Several of my intraday indicators show the market overbought here. I'm not sure we'll get a breakdown this morning, but ideally the rally should stall here and perhaps break down 30 minutes prior to the close. The jobs report should then trigger wave (iii) down tomorrow morning. This count remains valid as long as 1992.75 is not broken. Although even if it is, we could still work the 3 wave rally off the wave 1 low as a wave 2 correction. More after the jobs report Friday...


PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.

S&P Futures

This wave count using closing points on the 1hr time frame is tracking well.  Friday's fractured market, as I pointed out, was a good indication that a top was in place as Monday and Tuesday this week has shown significant weakness.  And after two days of heavy selling, the bulls managed only a modest float rally higher.  Not good for the bulls.  Friday is the big jobs report in the morning, then on to the 3 day Labor Day weekend, so I expect the market to probably float around sideways to slightly up Thursday, then huge moves Friday morning after the jobs report, then volume and volatility should taper off significantly after a few hours of trading as traders take off to enjoy the long weekend.

The wave count suggests a major declining phase is underway and that I should favor the downside for my trades in stocks and their derivatives.


PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.