Tuesday, July 31, 2012

Tuesday's Market 07/31/12

The market dropped slightly at the open, falling to 1383 before rebounding to near 1387. The choppiness from yesterday carried over into today, as the market soon fell to 1381. A rally above 1387 was followed by another pullback below 1380. The market rallied one last time to nearly 1385, before falling to the low of the day below 1379 near the close.

It looks like I had the wave structure slightly wrong yesterday. The market did make two moves to the downside as I suggested it might, but it did not carry as low as I thought it might. It now looks like wave 5 from 1391.74 occurred at this morning’s low, and then a larger degree sequence completed at the low near the end of the day.

This wave has formed in such a way, with waves of decreasing length, that the resistance lines are clustered from today’s low, to about 1383.70. The next resistance level would be at 1393, and then 1426. A move above that level, and if the market can hold above that level, would probably result in a move to new uptrend highs.
While my model would allow for very slightly lower lows, a break substantially below, by several points, would most likely mean a rather large move to the downside. Another move to the downside would probably have to result in a complex corrective wave 2, meaning the market could move much lower, perhaps below the 1368 level I am looking at to keep 1497 as the next target.
At the moment I still see the market moving higher. My targets remain either 1426, or 1497. If this level holds, 1497 would be the target.
Resistance is between current levels, and 1383.70, 1393, and 1426. Support is at 1376, 1367, and 1352.

Monday, July 30, 2012

Monday's Market 07/30/12

The market opened slightly higher, moving back over 1387, before moving back under 1385. The market then moved to a new uptrend high at 1391.74. This would appear to be the wave 5 of 3 high, and not Friday’s 1389.19. The market then pulled back, dropping to 1381, before rallying back to 1385.95. The rest of the day was spent in a narrow trading range between 1382, and 1386.

The market formed a clear 5 wave sequence from 1392 to 1381, very near the 1382 support level generated by the wave from 1329 to 1392. The sequence formed after that is a little less clear. It is very close to meeting my model’s criteria, but falls just short. This may be due to the closeness in price of the three peaks, or something else may be forming. If the market falls below 1381.37, I would expect to see another move lower to first 1377-1378, and then near the 1376 support level. If the market moves higher it is possible the market is in the beginning stages of a nested wave that could signal a powerful move.

While 1391 most likely was the completion of wave 3 from 1267, this corrective wave may be quite shallow. In fact, it is possible it has already ended. A breakout to the upside could mean the market is headed to 1497. This correction could carry down to around 1368, and still keep1497 the target. If it completes between 1350 and 1330, the target may move down to 1426.
Support is now at 1382, 1376, 1367, and 1352. Resistance is at 1393, and 1426.


On the chart I posted last Friday, I only showed the major waves, mostly due to the confusion trying to show each wave sometimes leads to. I’ve included a chart today that shows the entire move from 1329, with all waves labeled.

Sunday, July 29, 2012

Weekend Outlook 07/29/12

It was another very interesting week for the markets. I had been expecting the market to begin the week to the upside, working its way towards my 1393 target. Instead, it sold off rather sharply at the outset, dropping to 1329.24 by Tuesday afternoon. This kept the market above the previous low of 1325.41, and the market started to rally off that low. The rally continued on Wednesday, and kicked into high gear on Thursday with a gap to the upside. The market worked higher the remainder of Thursday, and then carried the rally into Friday. By Friday afternoon, the SPX had reached 1389.19, a rally of nearly 60 points from Tuesday’s low.

This week’s rally took the market to the 1387-1397 cluster of resistance, and within 4 points of my target for wave 3 from 1267. Last week I outlined my favored scenario in which we started the week in wave 4 from 1309.27, of wave 3 from 1267. Tuesday’s 1329 low marked the termination point of wave 4, and then the market completed a 5 wave sequence at the week’s high of 1389.19. This appears to be the end of wave 5, and thus wave 3 from 1267.

I continue to see this as a bull market from the March 2009 low of 666.79. The market formed a 5 wave sequence from that low to 1422.38. I see this sequence as 1219.80-1010.91-1370.58-1074.77-1422.38. This then became wave 1 of another sequence. Wave 2 was the recent correction to 1266.74. I have two possible projections for wave 3 of this sequence, 1426, and 1497.

Wave 3 of this sequence is unfolding now, with at least two, and possibly 3 waves having been completed. Wave 1 completed at 1335.52. Wave 2 was a complex semi-inverted corrective wave which terminated at the 1309.27 low. Wave 1 of this third wave completed at 1320.29, and was followed by a complex inverted corrective wave which took the market to a high of 1374.81, before terminating at 1325.41. Wave 3 reached 1380.39, with wave 4 completing with Tuesday’s low of 1329.24. With the completion of the 5 wave sequence on Friday at 1389.19 the market has most likely completed wave 5, and wave 3 from 1266.74.
 There is still the possibility that the market will move slightly higher before actually completing this wave. If it does, it should remain within the cluster of resistance at 1387-1397. For the moment, I will assume the wave has completed, and discuss what we might see next from the market. This next move higher should take the market to either 1426, or 1497. At the moment, 1497 seems the more likely. The extent of this corrective wave should give us the answer. A correction that terminates between current levels, and 1368, would point to 1497 as the next target. If the correction moves lower, between 1350, and 1330, 1426 would be my target.

Support is at 1382-1385, 1376, and 1352. Resistance is at 1387-1397, and 1426.


Saturday, July 28, 2012

Friday's Market 07/27/12

Yesterday I said I would be looking for a higher opening, to 1366-1367, a pullback to perhaps 1359, and then on towards 1393. The market did open higher, reaching 1367.85 at the open, and then continuing on to 1368.86 before experiencing a minor pullback. After that, it was almost straight up the rest of the day. By midday, the market had risen to 1377.41, and then spiked up to 1388. After a small pullback, the market reached the day’s high at 1389.19, and then dipped to 1384.49 before the close. This was within the cluster of resistance at 1387-1397 that I spoke of yesterday.

The market has been forming a nested wave sequence from the 1329.24 wave 4 low, and that sequence completed today at 1377.41.Then, with that being a wave 1 from 1329, the market completed another 5 wave sequence at 1389.19.


I have been targeting 1393 as the termination point of wave 3 from 1267. Today the market moved within our target range for that termination point. 1389 completed a 5 wave sequence from 1329, and is within my model’s range for wave 5 from 1309, and wave 3 from 1267. It is possible that the market may work slightly higher, creating smaller and smaller waves, but I think this is the end of the sequence.

If this is the end of wave 5, there are three scenarios. My targets for wave 5 from 1267 have been either 1426, or 1497. If the corrective wave 4 terminates between current levels, and about 1368, 1497 would be my target. If the correction carries further, to between 1350, and 1330, 1426 would be the likely target. There is also the possibility that this was the end of wave 5 from 1267.

I will address this in more detail over the weekend.

Friday, July 27, 2012

Thursday's Market 07/26/12

As I anticipated, the market moved higher at the open, surpassing my target of 1356. After a gap open, the market continued past the 1357-1358 resistance level, and rose to 1361.51. That level did not hold, however, and the SPX dipped to 1351.48. After that the rally continued, with the market first reaching 1359.10, and then to a new intra-day high at 1363.13. From there, the market moved slightly lower into the close.

The move today continued the rally from Tuesday’s 1329.24 low, in what I consider to be wave 3 of 5 from 1267. This wave should terminate at, or near, 1395-1397.
Short term support is at 1357-1358, 1323-1326, and 1313-1315. Resistance is at 1367, and then 1387-1397.
Very short term, it appears the market is forming a complex wave structure from the 1329 low. I look for a move higher on Friday, with a target of 1366-1367, followed by a pullback to perhaps 1359. This should set the market up for a move to my 1393 wave 3 target.

Wednesday, July 25, 2012

Wednesday's Market 07/25/12

The market fell slightly to the downside near the open, and then continued the late afternoon rally from yesterday, moving up to 1343.98. This completed a 5 wave sequence from the 1329.24 low, and from there the market moved pretty quickly to the downside. By late morning the SPX hit 1331.50, and then attempted another rally. That rally fell just short of the morning’s high, from which point the market fell back to 1335.87 before rising slightly into the close.

As I mentioned above, the market completed a 5 wave sequence at 1343.98. One of the support lines generated by the sub-waves of that sequence was at 1331.2. The subsequent drop from 1343.98 ended at 1331.50. This completed a 5 wave sequence, as did the move higher from that point to 1343.77. Another support line generated by the move from 1329 to 1344 sits at 1336.2, with the move down from 1343.77 terminating at 1335.87. This also completed a 5 wave sequence.
It still appears that the market put in wave 4 of 3 from 1267 at 1329.24. The target for wave 5 remains around 1395. If the market moves below 1329, it seems most likely that the market completed a 5 wave sequence from 1267 at 1380.39.

Today’s late afternoon low of 1335.87 appears to be the completion of a 5 wave sequence. If the 1329.24 low was wave 4 of 3, the market should move higher from this point, with a near term target of 1346, or 1356. Resistance is at 1338, 1341, and 1356.
If the market moves lower, there is a cluster of support from this level, to 1331, which marks the lowest support level generated by the wave from 1329 to 1344. If the market breaks below that, support is at 1323-1326, and 1313-1315. In my mind a fall below 1329.24 low probably means a 5 wave sequence from 1267 has been completed.

Tuesday, July 24, 2012

Tuesday's Market 07/24/12

Well, I couldn’t have been more wrong the last two days. I was expecting the market to move higher, to 1397-1398, and instead the market has undergone a substantial sell-off. Although I have apparently misread several waves during this sequence, I still believe the market may stage a rally to 1395 that would complete wave 3 from 1367.

On Monday, the market opened sharply lower, dropping to 1338 before rallying in the afternoon. This rally took the SPX back near the 1357-1357 resistance level, reaching 1353. The sell-off continued into today, with the market moving lower, down to 1340, during the morning. After a small rally attempt to 1345, the market headed lower again. The market paused momentarily after moving below 1332, the SPX put in the low of the day at 1329.24. This level was close to the 1323-1326 support level, and above the previous 1325.41 low I have labeled as wave 2 of 3 from 1267.
From the recent uptrend high of 1380.39, the market has completed a 5 wave sequence at today’s low of 1329.24. This sequence contained an inverted corrective wave 2, which accounted for most of the damage the last two days.

The market is again at a critical level. If it can hold above the 1325.41 low, it still appears that the market is in wave 3 from 1267. The entire move from 1325 to 1380 can be seen as wave 3 of 3, and the move to 1329 wave 4. Given this count, wave 5 still projects into the 1393 level I have been targeting for this wave.
Since I have been wrong several times during this wave, I have gone back and tried to look at as many possibilities as I can. Looking at all these possibilities, there is a count that would make 1380 the termination point of wave 5 from 1267. This sequence would be 1363.46-1309.27-1374.81-1325.41-1380.39. I still don’t see 1267 to 1363.46 as a 5 wave sequence, as it must be for this count, but since this entire sequence has been difficult to identify, I will keep that as a possibility. If the market breaks below 1325.41, this would seem the most likely scenario.
The market is currently right at the 1338 support/resistance line. Resistance is now at 1357-1358, 1367, and then 1387-1397. Support is at 1323-1326, and then 1313-1315.

Sunday, July 22, 2012

Weekend Outlook 07/22/12

In my Medium Term Update a few days ago, I outlined a scenario that would put the market in wave 5 from 1267. While that scenario is still a possibility, the more likely scenario remains that the market is currently in wave 3. The wave structure at the moment pretty clearly points to this wave terminating around 1397, very near the 1393 target I have had for this wave. I will attempt to explain in detail my analysis of the wave structure from the 1266.74 low to the present. I will also elaborate on what I expect from here, both for the short term, and for the longer term, including my expectations for waves 4, and 5.

Since it is still a possibility, I will begin with a recap of the first scenario, in which this would be wave 5. Wave 1 took the market from the 1266.74 low, to 1335.52. This wave broke down into 5 sub-waves, 1266.74-1280.11-1272.78-1296.34-1294.96-1335.52. These waves yielded a model value of .9929. Using these sub-waves, I was also able to project wave 3 to occur at 1393, or 1475.

Wave 2 of this sequence turned out to be a complex semi-inverted corrective wave, which eventually terminated at 1309.27. This wave can also be broken down into 5 sub-waves, 1306.62-1363.46-1324.41-1337.82-1309.27, with a model value of .9959. Wave 3 followed, as the market moved to 1320.29-1310.30-1334.40-1313.29-1374.81. This sequence gives a model value of .9999. With this being wave 3 I expected this wave to carry to my wave 3 projection of 1393. Although 1375 has this within my model’s parameters for wave 3, I had expected it to carry closer to the 1393 projection. Wave 4 followed, breaking down into a 1346.65-1361.54-1336.27-1344.26-1325.41 sequence, giving a model value of .9961. These two waves will become important later as I discuss my scenario having the market currently in wave 3. Given the structure outlined above, wave 5 would be expected to terminate at 1383-1384.

 Usually at termination points of waves, projections start converging into a very narrow range. At this point, I have yet to see that with this scenario. Although this scenario is possible I see it as a low probability scenario at the moment. The preferred scenario still has the current move as wave3 from 1267, with that wave possibly nearing an end.

In this scenario, waves 1, and 2 remain the same. The difference in the two scenarios involves the next set of waves, which I have numbered as 3, and 4 above. This scenario would have this set of waves as wave 1 of 3 at 1320.29, followed by a complex inverted wave 2 with the structure 1310.30-1334.40-1313.29-1374.81-1325.41. This wave configuration has a model value of .9959.

So, for this scenario the count would be wave 1 at 1335.52, wave 2 at 1309.27, wave 1 of 3 at 1320.29, and wave 2 of 3 at 1325.41. The market then completed a 5 wave sequence from 1325.41 to 1361.32, with sub-waves 1338.42-1334.36-1347.63-1345.26-1361.32, and has a model value of .9925. This would appear to be wave 3 of 3, with wave 4 of 5 completing at 1345.07.
Wave 5 appears to be forming a rather extended 5 wave sequence, with waves 1, and 2 completed. Wave 1 of 5 sub-divided into 1354.82-1354.05-1359.04-1357.62-1360.78, giving a model value of .9999. Wave 2 was another complex inverted corrective wave, similar in structure to the wave 2 from1320.29 to 1325.41. This wave broke down 1358.33-1365.36-1358.96-1380.39-1362.19 from 1360.78. This sequence gives a model value of .9948.

As I mentioned earlier, at this point, I would expect projections to be converging into a narrow range. Given this scenario, that is exactly what is happening.
Wave 1 Sub-waves: 1280.11-1272.78-1296.34-1294.96-1335.52
Optimal Projection: 1393
Wave 3 Partial Waves: 1320.29-1325.41-1361.32-1345.07
Projected Wave 5: 1397-1434
Wave 3 of 3 Sub-waves: 1338.42-1334.36-1347.63-1345.26-1361.32
Projected Wave 5: 1386-1412

Furthermore, the sub-wave sequence of wave 1 of 5 of 3, projects a level of around 1382 for wave 3. A small correction from that point, near 1371-1379, would project wave 5 at 1397.
To summarize the above discussion, I would expect a move higher, near 1382 from Friday’s 1362 low. After a small pullback to 1371-1379, I would expect the market to move up to 1397-1412. This would complete a 5 wave sequence from 1309.27, and wave 3 from 1267.
My projections for wave 5 from 1267 remain either 1426, or 1497. If the market completes wave 3 at 1397 as expected, a small pullback for wave 4 would point to the 1497 target. A somewhat larger corrective, to around 1365, would point to 1426.

Friday, July 20, 2012

Thursday's Market 07/19/12

The market gapped up at the open, and continued to a new uptrend high at 1378.23 in the first few minutes of trading. The market then turned lower, giving up all of the early gains, and then some, as the SPX dropped to 1371.21. Another rally followed the pullback, and the market soon found itself once again in new uptrend high territory. This time the SPX made it to 1380.39, before pulling back again. The market again dropped near the 1372 level, and then staged a choppy rally back near 1378 into the close.

The early morning run up, and subsequent drop, appears to have been part of a semi-inverted corrective wave from Wednesday afternoon’s high. The following move to 1380 completed a 5 wave sequence from 1368.70, and wave 3 from 1325.41. We may have seen wave 4 with the pullback to 1372. If so, the market should be in wave 5, which could complete a 5 wave sequence from 1267.

In Wednesday’s Medium Term Update, I outlined a scenario for a 5 wave sequence from 1267 being close to completion. The current target for that wave would be between 1383, and 1397. If my current count is correct, I can narrow that forecast to between 1383 and 1384.
I will say again that the wave structure lately has been very complex, and there is a scenario in which this would complete wave 3 from 1267, and not wave 5. The projections for each are similar, with the wave 3 scenario most likely terminating between 1390 and 1391. This should clear up shortly, but as stated, the projected highs for each scenario are similar.
If the market moves up to 1383-1384, and then drops below 1372.33, it is most likely that a 5 wave sequence from 1267 has completed. Support is at 1367, 1357, and 1333-1336. Resistance is at 1383-1384, 1390-1391, and 1426.





Wednesday, July 18, 2012

Medium Term Update 07/18/12

Up until this point I have kept my current count from the 1266.74 low intact, even though I have had some reservations about it, which I have expressed from time to time. The main problem with this count has been the increasingly higher projections it has been giving with each completed wave. I have kept this count because I better one has not presented itself until now. At this time I feel a better option, or at least an equally good one, has appeared.

 I’ll start by reviewing my current count from 1267. This begins with the completion of a 5 wave sequence from that low at 1335.52. This is wave 1 in red on the accompanying chart. A corrective sequence to 1306.62 has been labeled wave 2 in red. A five wave sequence to 1327.28 completed wave 1 of a smaller degree, which is labeled in white. Wave 2 of this sequence I had labeled as a semi-inverted corrective wave, which terminated at 1309.27. Five separate 5 wave sequences then completed white wave 3, and another 5 waves down completed wave 4. That would have the market currently in white wave 5, which would complete wave 3 in red, of a 5 wave sequence from 1267.
The main issue I have had with this entire sequence from 1267 is the move from 1306.62, labeled wave 2 in red, and 1309.27, which is labeled wave 2 in white. From 1306, I have white wave 1, followed by wave 1 if the semi-inverted corrective wave in green, followed by waves 1 through 5 in yellow, which completed wave 2 in green of the semi-inverted corrective wave. This is followed by waves 3, 4, and 5 of the semi-inverted corrective wave in green, which terminates at wave 2 in white, or 1309.27.

While this count satisfies my model, it seems a bit convoluted. By simply using waves 1 through 5 in yellow from 1306.62, my model is also satisfied. I have refrained from using this count because the move from 1306.62 to yellow wave 1 doesn’t break down easily into a 5 wave sequence. However, this appears to be the simpler, and at the moment, better solution.

I’ve labeled this possibility as A-B-C-D-E on the chart for clarity. The move down from 1363.46 to 1309.27 is also interesting. A clear 5 wave sequence formed to 1324.41, and after a short rebound the market dropped to 1309.27. This entire wave breaks down into a 5 wave sequence the best, but for this discussion, I’ll also assume that it breaks down into two separate 5 wave sequences.
On the next chart I have replaced all the numbers with X’s to mark the 5 wave sequences I have identified.

And on this chart, I show the possible new count. This count would put the market in wave 5 from 1267, which projects to 1393.




Wednesday's Market 07/18/2012

After opening slightly higher, the market moved down to 1358.96. From that point the market staged a pretty powerful rally, moving above the previous uptrend high of 1374.81, making it to 1375.26. The market then pulled back, dropping to 1368.70, before rallying back to 1373.77. After pulling back slightly, the market moved higher into the close.

Yesterday I mentioned the possibility of a complex corrective wave forming, and it appears that is what has played out the last two days. After rallying off the 1325.41 low, the SPX completed a 5 wave sequence for wave 1 at 1361.32. From there, an inverted corrective wave formed, first taking the SPX down to 1345.07, before the strong rally to 1375.26. 1345.07 marked the end of wave 1 of the corrective wave, with the move to 1375.26 creating a series of 5 wave sequences of ever diminishing length. This completed wave 2. Waves 3, 4, and 5 took the market to 1368.70, which completed the corrective sequence, and wave 2 from 1325.41.

  I would expect the market to continue higher from here. I would now expect waves 3, 4, and 5 to complete at, or near 1393. While I have been looking at 1393 to complete wave 3 from the 1267, there is a count developing that would complete a 5 wave sequence from that point. I hope to elaborate on this later tonight. Either way, 1393 looks like an important point. What happens from there could determine the longer term direction of the market. While I think the market may correct from that level, I do not see a move back down to 1267.
Resistance is at 1387-1397, and then 1426. Support is at 1367, 1357-1358, 1337, and 1323-1326.


Tuesday, July 17, 2012

Tuesday's Market 07/17/12

The market opened higher today, moving above the 1356.70 level I thought would signal a resumption of the uptrend. Very quickly, however, the market turned lower, moving below the 1351.83 level I thought would result in a further correction. After moving above 1361 after the open, the market dropped back to 1345. After hitting 1345, the market rebounded, moving back above the 1357-1358 resistance level, and after dropping back to test it, moved higher once again. The market moved above 1365 for the high of the day, before falling slightly into the close.

The move higher from 1325 has turned out to be, like every other move lately, more complicated than I had thought. It now appears that wave 1 terminated at 1333.91, and was then followed by an inverted corrective wave 2 that lifted the market to 1357.7, before ending at 1348.51. Monday’s move to 1357.26, and drop to 1351.38 completed waves 3, and 4. Waves 1, and 2 of wave 5 completed at the close on Monday, and Tuesday’s opening move to 1361.32 completed waves 3, 4, and 5, and the 5 wave sequence from 1325.

The move down from that high was a 5 wave sequence, and the rally to 1365 contained a 5 wave sequence which terminated at 1360.78, which became wave 1 of a larger degree sequence which ended at 1365.36. This sequence contains waves of diminishing lengths, which usually indicates a reversal.
I still see this as part of a wave sequence that will take the market to 1393, but it appears we may still be undergoing a corrective sequence that will have to be completed before we resume the uptrend. This could take the form of a semi-inverted corrective wave that should take the market back between 1345, and 1361, and after a short rebound holding below 1361, should terminate somewhere below 1345. The other possibility is an inverted corrective wave, which would mean a pullback holding above 1345, and then a move back above 1365, followed by another small pullback.
Short term support is at 1357-1358, 1337, and then 1323-1326. Resistance is at 1367, and then 1387-1397. A move up to the 1387-1397 resistance level should mean either wave 3, or wave 5 from 1267 has completed, with a corrective wave to follow.







Monday, July 16, 2012

Monday's Market 07/16/12

After having run up from 1325 to 1358 on Thursday and Friday, the market spent today trading in a narrower range, undergoing some apparent consolidation before the next move. The market made an initial drop this morning, completing a 5 wave sequence from 1358 at 1348.51, which proved to be the low for the day. A scenario is developing which would make 1393 the termination point of a 5 wave sequence from 1267, and 1348 is precisely the pullback needed for this scenario.

From that low, the market proceeded to form a sequence of 5 wave sequences making a series of lower highs, and higher lows. The market moved higher to 1357.26, lower to 1351.38, higher to 1356.70, and lower to 1351.83, before rising slightly off that low into the close.

The structure that has formed from the 1358 high indicates a powerful move is forthcoming, but has formed in such a way that leaves open the possibility of a breakout in either direction. A move above 1356.70 would indicate another move higher, with 1393 remaining the most likely target, and a break below 1351.83 most likely resulting in a strong move back to the downside.
Resistance is at 1357-1358, 1367, and 1387-1397. Support remains at 1338, 1323-1326, and 1313-1315.
I mentioned above that a scenario is developing in which a move to 1393 would complete a 5 wave sequence from 1267. Up until now I have been calling this wane 3 from 1267. Both scenarios are still possible, but I wanted to acknowledge the existence of both possibilities. Due to other commitments, I was unable to put out a weekend update as planned. Instead I will post a Medium Term Update in the next day or two that will outline each of the different scenarios.






Saturday, July 14, 2012

Friday's Market 07/13/12

Yesterday I said I was expecting one more move down to 1318 to complete a 5 wave corrective sequence from the 1374.81 high. I also said there was a count that showed a completed sequence, with a continuation of the uptrend in progress. 1342 was the level I was looking at. I was looking for a move to that level, and then the move down to 1318. If the market moved above that point, the uptrend was continuing.

The market opened higher, and soon moved past that critical 1342 level, to 1347.5. After a small pullback, the market spiked higher, to above 1352, and then drifted higher for the rest of the session. In the last hour of trading, the market hit its high of 1357.70, right at my 1357-1358 resistance level.

The market has now completed a 5 wave sequence from 1374.81, at 1325.41. I have been calling this wave 4 of wave 3 from 1267, but I have voiced my reservations about that labeling for some time now. Ever since the 1306.62 low in early June, the wave structures have been pretty complex, and were starting to give rather high projections. I have felt for some time that a more complicated larger wave structure was developing and that at some point it would reveal itself, bringing the projections back in line with the 1393 original projection for wave 3 from 1267, and then 1426, or 1497. I think the market is starting to reveal that structure. I will be addressing that in more detail over the weekend, but for now, suffice it to say that the market is now on track to move up to 1393.

The current move should finally take the market to 1393, completing wave 3 from 1267. Support is at 1337, 1326-1323, and 1315-1313. Resistance is now at 1367, and then a cluster at 1387-1397.