Nasdaq Intraday New Record High Review

The markets decide where they want to go and obviously still too early for the beginning of a bear market. This is only a quick count in what could be an ending diagonal, with the last part being a poorly formed 5th wave. Other indices are also getting very close to new record tops so there is still life left in the stock party.   We ended on a nice little spike this morning and a correction should be expected.  Of course, any bigger decline would be welcomed, and 2 or three obvious support levels must eventually be completely retraced. 

I don’t have a better wave count at this time, but a new world record high is always important. In line mode the new high looks more like a double top but still registers a higher peak by just a fraction of a point.  Short term this produces a bad pattern to count from. The VIX has kept on with its decline and is now approaching the $10 price level. Bear attacks always come as a surprise to most and I’m sure the next bearish move down will also be a surprise. 

Short term we can still see this bullish action, but long term I’m bearish as insiders left the building a long time ago. Not until the contrarians report that insiders are once again buying as a group will it be “safe”. Other indicators would have to come together as well, and the markets will become massively oversold before we reach any major bearish bottom.  Many reported that the Nasdaq touched 6000 but this happened with a spike. In line mode this turned out to be about 5991.