Temporary The rally from the June 21, 2021 bottom is unfolding as a 5 waves impulse Elliott Wave structure in Dow Futures (YM). Wave 1 of the rally from the June 21 low finished at 34755, while wave 2’s pullback ended at 34004. Wave 2’s internal subdivision took the form of a zigzag pattern. Wave ((a)) finished at 34241, wave ((b)) rallied to 34595, and the final leg of lower wave ((c)) ended at 34006. This completed wave 2 to a greater extent.
The index has broken above wave 1 at 34755, indicating that wave 3’s next step higher has begun. Wave I of the uptrend finished at 34375, whereas wave (ii) of the downtrend ended at 34140. In wave (iii), the index maintains its upward trend towards 34796, whereas wave (iv) ended with a pullback at 34548. Index is expected to end wave (v) soon, which will also complete wave I Before the rally resumes, it should pullback in wave ((ii)) to correct the cycle from the July 8 low. In the short term, declines should find support in the 3, 7, or 11 swings versus the July 8 low (34006) for more upside.
elliott wave chart of Dow Futures (YM) for 45 minutes
elliott wave video for Dow Futures (YM)/n
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