Securities Research Services

Thursday, September 08, 2005

Market Inches Higher

Volume remained strong yesterday and price action was fairly positive. It is reasonable to assume that since indices recovered their 50-day averages so convincingly over the past few days of trading that we will at a minimum see a retest of recent highs. Likewise, double tops are fairly rare, so we could see a fairly decent rally take shape over the month of September. Elliot wave patterns put both the S&P and NASDAQ at the crux of a 5th wave development. At this point we are taking a “wait and see” approach and will be watching carefully for any warning signs that the trend is faltering.

No comments: