Last update, I was so certain that we'd rally up north of 2586 SPX that I drew that path on the SPX chart and the INDU chart -- and then, just to keep us on our toes, SPX dipped briefly below 2566 before rallying up into the B/(2) target zone. I cannot even begin to express how difficult it becomes to predict a market that has made as much noise as this one, so please keep that in mind when we look at the projections below.
Let's start with INDU:
SPX would be expected to behave in a similar fashion:
In conclusion: The bull alternate on both charts is that the decline/correction is entirely complete and we'll head straight on to new highs from here in a decent third wave. I'm not favoring that -- if we were to make a new high, my first suspicion would be that it's still a B-wave (a second wave would be off the table). So I'm still inclined to think we need at least one more wave down to complete this pattern -- and possibly more than one.
The biggest challenge is determining exactly WHAT this mess is trying to correct. Due to the noise leading into the all-time-high, we may be correcting a higher degree wave than the conservative (C)/3 projection shown on the chart. It's simply not clear, and we'll just have to take it as it comes. Trade safe.
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