Note: the following analysis is formulated as an assimilation of technical indicators. It is offered as education and not intended as advice in any way.
Today's new swing high in the markets leaves a clean 5-wave advance from the 4/21 lows. This new high then suggests that the most probable intermediate term scenario can be reduced to two likelihoods: one very bullish that calls for eventual new annual highs in the next few weeks, the other very bearish calling for an eventual sharp and decisive decline below the 3/24 lows. Once prices reach some sort of phi support lower in the next session or two (again, those levels are SPX 1126-1134, INDU 10355-10415, and NDX 1460-1476), and then start their next impulse move higher, we'll have a better sense of which of these two intermediate term scenarios are operative. For now, and no matter what the intermediate term trend turns out to be, the next setup is likely to be a lift from our cited lower support zones for a new swing high above today's high. It will be this next impulsive, 5-wave move off of lower phi support zones that will help us determine the intermediate term trend: whether bullish or bearish.
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