Market Update - 5/25/2010

Looks like Minute wave [i] completed today.

We had a powerful thrust down this morning, and then we basically spent the rest of the day climbing back up. These types of quick reversals usually indicate some type of bottom. So for now, this primary count is that we have a bounce over the next few days for a wave [ii].

Ovbiously it's too early for a target, I do think the gap at 1114 will be filled. This would also put us between the 50% and 61.8% Fib retracement, which is common for wave 2's. I also expect wave [ii] to be a sharp zigzag. So far we have 2 waves up, an we seem to be in the 3rd wave. This is wave iii of (a) of [ii].

The key pivot tomorrow to the upside is 1082 and 1090. Downside is 1060 and 1050.

The daily gap is at 1114. This gap will most likely be filled before we come down again.