It certainly looks like the "c" wave up from the Aug. 16 low is complete. Now we have to watch for the development of legs "d" and "e" per our Elliott Roadmap (from an earlier post). Of course, the "c" wave may have ended the correction in which case a new pattern has already started. In either event I believe the market is trending downwards.
Over the next few days I will be watching momentum like a hawk. The chart at left shows the RSI (top) vs. Price (cash S&P500) on a daily basis. Will momentum follow price; or will price follow momentum; or what? So far price is leading and we'll be watching for any divergence to show up which may put a damper on our bearish leanings. The weekly and monthly views will be just as important and I'll post them over the next few days.
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