A week ago I wrote: "Monday there was an up reaction, but is was stopped by the resistance of the PP pivot level of the month and a previous top (before the end of wave E2). This brought the index back down again to the level of the 76.4% Fibonacci retracement. On Thursday this level was broken with a low price down to to the S1 pivot support of the month. Finally on Friday we see a pullback up to the 50 day average, closing the week slightly higher. There may be some small further up reaction, but it looks like there is enough resistance close by to stop an up move. I think we still should expect a further move down the coming weeks"
I thought there would only be a small further up pullback, but there was a larger one the last week moving up close to the R1 pivot of the month, the previous top of correction wave E2, and the upper side of a longer term and short term pitchfork. We should not exclude a further move up to the upper side of the volatility band, making a small higher top above the previous E2 correction wave. But I believe the long term correction wave down is not finished. The next couple of weeks will have to show what is coming next.
Sylvain Vervoort http://stocata.org/