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Monday, July 31, 2017

SPX, INDU, BKX, NDX: INDU Approaching Next Target Zone

Last update, we talked about how bears may be getting close to finally having their day in the sun, and it does appear we're getting closer. 

INDU is now very close to its first upside target zone:


BKX has continued to struggle with the noted B/2 resistance zone for a while now:



Bulls have thus far held the bull/bear dividing line on SPX, so we may be headed to the upside target next (jury is still out for the moment as to whether they'll be more downside first or not, but as discussed last update, we still have a potentially-complete ABC decline at 2459 unless/until bears prove otherwise):


And NDX may have a bit more upside over the near-term, but does look more like an impulsive decline from the ATH than a corrective decline... so a retest of the ATH would present a relatively low-risk short opportunity -- with a tight stop, of course (not trading advice!):


In conclusion, we're ahead of the game here, and that can be dangerous if one has the wrong mindset in a market like this -- but it still seems that it's not unreasonable to continue to believe that we're closing in on completion of a fifth wave.  Just keep in mind that "tops take time," so it's possible it will draw out a bit longer than bears want it to -- and, as of this moment anyway, we're still looking for a bit higher prices in at least a few places before it's all said and done, so there's probably no rush just yet.  Trade safe.

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