Secondly, we are finally able to place the latest A wave up of Intermediate (3) on the two-daily chart, as below.
|SP500 2-Day Chart - Five Waves Up to A|
Next, some will say that the five-waves up could also be a minute wave (i) of a much larger Intermediate (3). And, again, while we are not ruling out an impulse, when we just look over the wave above, it is very hard to find impulsive character in it. So, the "look" right now is one of a diagonal. That means wave Intermediate (3) has high odds of forming as three-wave zigzag, rather than a full-on impulse.
We can not say for sure, yet. But we do find it telling that a wave A may have stopped short of making the new all time high - perhaps as a warning. Certainly, there is no signature on the EWO of an impulse third-wave. The EWO is still diverging. Then, too, as we were counting waves today, we noted that the DOW may have slightly truncated it's fifth wave up - where the S&P 500 completed it successfully - another possible warning sign.
So, we remain patient and flexible, and continue just to follow the rules and guidelines as best we can. (And let's see how many web-sites and bloggers begin to follow this count and post it as their own - as they get whipped around in the near constant chop at the moment.)
As usual, I will indicate that the downside invalidation level for this count is below the low of wave (2) on the cash chart. Each of the Dow, the S&P500 or the ES may make one more higher daily high as part of the A wave, without affecting the overall count, (and that would likely have to be Monday or Tuesday), but another new high is not required in the A wave. It counts acceptably as it is.
Have a good weekend!