Dow Jones – Road Map
Dow Jones may now be offering the clearest short-term road map among the major indices.
In this update, we focus on the index with the most reliable Elliott Wave structure, outline the key path for tomorrow, and assess what Dow’s next move could reveal about the broader market direction.
Elliott Wave
YM futures may have formed the cleanest potential impulsive wave down from the most recent top among the major indices. That move was followed by a clearly corrective bounce on May 18, while today’s session developed as a see-saw decline. The current wave could be a leading diagonal for wave i of (iii) downward in red, or wave b of a larger wave (ii) in blue.
If YM rises overnight by about 0.70–0.80% or more, it would move close to completing a larger blue abc correction. In that case, wave (iii) would likely be next.
There are multiple reasons to support the idea of a larger impulsive structure downward for Dow, several of which we discussed on the larger charts in the weekly report.
Let’s see what the futures do overnight.
