(Editor's Note: now that other folks are contributing to Slope, I'm going to put a "By-Line" in the subject to make it more clear that it was written by someone else; far too many people have been thanking me for the hard work of others, and I'd also like to clarify whose opinion belongs to whom – Tim).
When an oscillation is rolling with the primary trend it takes some time to turn things around. The sectors, one by one, fail to make higher highs, then stall, and then begin to decline as their time arises. Financials, Energy, Utilities, and Transports have all shown non-conformances in the past five days. NASDAQ and Russell 2000 have been quite sluggish. Today’s high at 10:45 am EST was strongly repulsed.
This is when violence ensues – bringing all sectors and markets back into alignment.
( Please click on the chart for a sharper image.)
The Impulse Wave up has extended to 5 + 4 = 9 waves. The final subminuette wave has truncated. The channels on SPX and NASDAQ, while quite different in character and timing, have both broken down. With counts at or near completion a correction is here. We cannot say with much confidence how far the correction will take us. We can say with confidence that all the characteristics of a decline of Minor or Minute Degree have fallen into place and declines of this degree take days to complete.
Thanks to Tim Knight and best regards to my fellow Slopers! - - Pat McNeill