The bears finally woke up yesterday as the rally up by the bulls was attacked by midday and drove down into near the close where the market actually went red for awhile. But at the last minute the bulls run it back up to close it green. This was what I kinda thought might happen as the bulls got close to the even number of 2900 yesterday. As I mentioned in yesterdays post it's quite common to see the first attempt at an even number level fail, which it did. Ok, from what I see from others who do Elliottwave we were apparently in some kind of small wave 3 up inside a little bigger wave 3 up since over a week or so ago.
I'm not sure what they think of this pullback but my thoughts are that it's the small wave 4 down inside that little bigger wave 3 up. Now if it finished yesterday then we should have a small wave 5 up today to end it and end the little bigger wave 3 up. We all know that 5th waves can truncate short so it doesn't have to make a higher high today... and it doesn't have to complete today. It could grind up into Friday before it ends.
There's also the chance that it could subdivide into an ABC small wave 4 down. So lot's of possibilities here. That's why I find it very hard to trade off of Elliottwave along. But added with other methods it can be helpful. So if we go up today near the high from yesterday it should either be the small wave 5 up to complete the little bigger wave 3 up, or just the B wave up of the small wave 4 down... which in both cases another move down should follow.
Therefore I'll be watching closely for that move up to short it. It might not happen today as I said and instead get dragged out into Friday. Then there's also the possibility that we chop sideways early today and drop into the close, which I think think we did indeed subdivide into an ABC and the drop at the end of the day would be the C wave of that small wave 4 down. Then they could rally up Friday for the small wave 5 and put in a double top if they wanted and setup next Monday for the little bigger wave 4 down to start. These are all the possible moves I see as possible for today. I'll of course add my thoughts through out the day in the free chatroom to let everyone know where I think we are at. Have a blessed day on this beautiful planet. Thank God spring is here.