While my expectation for Friday's market was met in terms of its direction, I am still looking for more downward movement in the DJIA. It should bounce off of the expected resistance point as labeled in the chart.
Furthermore, I am becoming more and more convinced that we are looking not at a "C" but at a "B" wave, meaning that more upward movement would have to occur before the market would take its next dive.
Nevertheless, I am sticking to the prediction that the market will continue to trend in between the red dotted lines and likely complete wave 2 (black) at the end of this month or the beginning of August.
I remain bear in the long term, but will not discount another brief push up before that occurs. "C" waves are usually very strong and resultantly, I am skeptical about it having already formed, given the sideways market movement.
More to come, but I think the best thing to do now is just to watch carefully to see what happens over the course of the next two weeks.
Best,
W
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