Trust the streak! This is more than just some bear market rally - MarketWatch
The media have just awoken thinking that this rally has more to it than they thought. Of course, as soon as they think that, the markets will reverse and plunge. The markets will never allow one group to gain the upper hand for very long, as it will react in the opposite direction when they think that the trend will keep going in their favor.
It may be harder to tell on a smaller scale, but on a bigger scale it is much more obvious.
The Nasdaq 100 made a couple of turns that did not fit well into an impulse. What else is new as it seems that Nasdaq does not play well with others. The deep plunge in February can easily be an expanded wave as it sure looks like a 3 wave pattern. Also, when the Nasdaq 100 started to turn no real impulse formed and that top 4th wave correction will not fit into an impulse as well.
From the February crash bottom the entire
move can be a diagonal "C" wave bull market. The public really does not know the difference between a bull market and a bearish rally because they do not pay attention to the patterns, only price is their main thought.
So if this is a fake rally, then a plunge to new bear market lows can happen. The Nasdaq 100 is also shredded with two huge gaps and one smaller gap open below present prices, so there is more here than we may think.
With this wave pattern I have to be bearish and wait to see if the decline is a well defined impulse.
The potential for this market to still be in a giant diagonal 5th wave is still alive at this point, so we could still be in for some big surprises.