Wednesday May 6 2020
The sideways action since April 24 and the top April 29 keeps the hopes alive for bulls.
At top on balance volume is lower on
the move up. At bottom volume itself does not seem to be expanding on the move up. This is to be expected in the early stages of a Wave Three Down.
NYSE Advance Decline
The Advance Decline line shows a clear five wave pattern up. PMO has not yet peaked but just achieved the zero line about where we would expect momentum to peter out. At top the index is moving sideways.
Recall Richard Russell's admonition that the bear is much more clever than the bull.
Again scanning the headlines in the WSJ the ripple effect continues to generate problems. Meat packers close, restaurants and stores out of meat, high school seniors eye gap year and re consider college this fall, and so it goes
More later today
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