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Thursday, May 7, 2020

Elliott Wave Update ~ 7 May 2020

Another big gap up open and today's was bigger than yesterday. Yet the market kind of lost steam again second half of the day. Today's high price is labeled as Minute [ii] of Minor 1 of Intermediate (3) down.

This could be just a head and shoulder pattern forming with wave (2) peak as the head. If Minute [iii] is now in play, we should see a strong downdraft and bearish selling.
Again note the internals.  The market spent a lot of buying energy but I don't even think it closed the gap down fully from last week.
The top alternate count is still hanging in there. Yet again, it may take another big opening almost immediately to sustain an upward push from here to move prices toward a new wave (2) high. The good thing going for this count is if it is correct, then it is about to be a "third of third" up - specifically iii of (iii) of [c] of Z of (2) -  which should be the strongest part of wave [c] of Z of (2).

Its reaching the point where the primary and top alternate count in which one or another will be eliminated at least from a intraday squiggle perspective. Longer run, even if wave (2) makes a higher high, we'll still label it (2).
The triangle may be complete as I have it labeled below or we may have labeled it too early and it is working on (d). We'll see.

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