I’m a bit behind with my DJIA wave count as it has not pushed to record highs, at least not yet. These moves can frustrate any wave analysts, but ignoring them will not help them go away.
Since the 2018 peak, I had to go back and look for extensions that may have occurred. In this case, it’s the Minor and Minute degrees I extended, much as I did with the Nasdaq and SP500.
I also created a Minor degree 4th wave triangle, which would be a prime price target for some very strong price support in the future.
There are daily trading limits in the index futures, so it’s pretty hard for huge single crashes to develop as they did in 1929 or 1987.
It may still take all of April to play out, but eventually, the ending of Solar Cycle 24 will pull stock prices down, much like what happened at the tail end of 2018.
The Gold/DJIA ratio has changed little and is still around the 20.8:1 range, which is expensive by any stretch of the imagination when compared to the gold price.