Market Update - 8/25/2009

Dow Jones Industrial Average: +30.01 or 0.32% at 9539.29

S&P 500 Index: +2.43 or 0.24% at 1028.00

NASDAQ Composite Index: +6.25 or 0.31% at 2024.23

NYSE Internals: 1830 Advance. 1185 Decline.

SPX made it back to the 1038 area today, and reversed yet again. But only to find support at 1027... again.

We also put in a slight higher high, so that could mean that today was the top. But I personally don't think today was the top. The 5th wave up today was very small.

From my primary count, we have started wave 4 today. This should retrace down and take us to at least 102 on SPY. After that, the final push to ~105.

The chart below is my alternate count, showing how today could have been the top for the rally.

A break above todays highs will be bullish, and we would finally see 1044 then, and a break below todays low will be bearish short term, meaning we probably get to 1015-1018.