As seen in the chart above, the wave to new recovery highs since 3/22 has clear zigzag characteristics. It is thus a leg of a sideways correction or an ending diagonal. Following the rally last week, corrective looking waves moving down since Thursday's peak can be seen. Using the logic above, this decline can be part or all of the next sideways correction leg or a corrective wave of an ending diagonal.
Unfortunately there are no obvious wave counts; see the chart above. There is no satisfying completed wave (iv), but it is possible another upward leg, ending diagonal, or sideways correction of larger degree is ensuing following a completed wave (iv). For now, an ending diagonal or sideways correction as marked above are the best guesses to describe the recent market action. If a wave (iv) triangle is underway, its c wave will probably drag on for at least one more day.
The larger view remains unchanged.
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