Professor’s Comments – Before the Open 5/25/2022
Posted by OMS at May 25th, 2022
Stocks still appear inside corrective wave 2 up of Wave 3 down.
Based on what I saw yesterday, here’s a few potential targets for where wave 2 up might complete.
DIA: strongest of the indexes, should rally to at least 32,200+. Wave ‘a’ high is near 32,600+, so wave ‘c’ of 2 up could re-test that level.
S&P: If Dow rallies, S&P could test the 4,100 level, the 17 May high.
RUT: Same for RUT. Could test 1,840 the wave ‘a’ high.
QQQ: 306-307, also the wave ‘a’ high.
The next few days should have a bullish bias as we head into the Memorial Day Weekend.
A break below yesterday’s low of 31,365 on the Dow would remove the short-term bullish bias on all indexes.
Caution: Once wave ‘c’ up of wave 2 up completes, Wave 3 of 3 down should drop indexes to new lows.
Yesterday was another multiple cigar day. Get the Arrows, follow the Arrows. That’s all I do.
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Not sure of the terminology we use? Check out these articles
The Hockey Stick Pattern
The Creation of Waves and Trends
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Category: Professor's Comments