Market Indexes: Major U.S. Equity Indexes closed higher; DJIA lower
SPX Candle: Higher High, Higher Low, Higher Close - Yin-Yang Candle
FED Posture: Quantitative Tightening (QT)
Absent significant economic news, save for the level of Consumer Credit - which almost doubled over the prior period to $16.6B from $8.5B, markets were significantly slower than even Friday. Volume on the NYSE fell to about 2.7 Bil shares. It could be that worries of an East Coast hurricane kept people away while making preparations. We hope for the best.
Stocks, as measured by the S&P500 Index, had closed Friday at 2,872. With the overnight futures up as much as +13 points, they gapped about +9 points higher at the open, and traded up to 2,887 (or +15 points) within the first half-hour. This was enough for the S&P500 to break the declining hourly tops we asked you to keep an eye on, and therefore indicate the likely entry into the minuet .b wave of the minute wave (iv). See the chart below. As the day wore on, stocks traded largely sideways-to-lower and closed up a little more than +5 points, while the DOW closed down.
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| S&P500 Cash Index - Daily - Entrance into .b wave |
As a general rule, "B" waves can be very intractable and hard to predict. Because "B" waves can be literally "any three", including zigzag, flat or triangle, provided they do not exceed the start of their "A" wave in a zigzag, it is of dubious use to try to predict how long this one will last. We'll do our best, internally, trying to count it.
The Elliott Wave Oscillator remains red, declining and above the zero line.
Have a very good start to the week, and focus on the true priorities as they arise.
TraderJoe
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