The market sold off sharply after the morning's strong open. The sell-off recalls a zigzag implying higher prices next week.
A wave iv of (iii) triangle as shown above works very well with the recent action. There are a few unusual elements to the count, but I am very pleased with it especially when compared to other options. After careful consideration, all waves that look like impulse waves are marked as impulse waves, and all waves that look like zigzag waves are marked as zigzag waves. This labeling is a very simple description to otherwise complicated action.
Wave iv is larger than ii by a good amount, but this is not uncommon when a triangle is present. If there is a continuation sideways for a week more, a zigzag since 3/16 will become a better option.
The larger count has not changed. A new recovery high is expected, but the rally since 3/16 should not last for much longer.
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