A strong downwards day indicates the alternate triangle Elliott wave count may be more likely than the main, which differs only for a short-term outlook. The wave counts are switched over today.
Price is now range bound. Two Elliott wave counts are used to map out possible movement and targets after a breakout in either direction.
The very short-term expectation from yesterday’s hourly chart was a small bounce, which is what has happened.
A small amount of upwards movement was expected. Price moved slightly higher.
The short-term target remains the same.
Price is moving sideways. The Elliott wave counts remain unchanged.
A little upwards movement provides a little short-term clarity. The target is now close by.
An upwards breakout from a flag pattern was expected. The first Elliott wave target at 1,300 has been met. But the Elliott wave structure is incomplete, so the second target will now be used.
Updates to analysis throughout the week have expected a continuation of upwards movement towards the target. This is exactly what has happened.
A small range week leaves all Elliott wave counts valid. The target on the preferred Elliott wave count remains the same.
A little more downwards movement has unfolded as expected.
Sideways movement was expected for Tuesday’s session. A small inside day completes as a doji candlestick, which exactly fits expectations.
Volume analysis still favours the first Elliott wave count.
On Balance Volume is watched carefully this week. It may signal which Elliott wave count is most likely.