A week ago I wrote: "Last week I mentioned: "Maybe the downturn has started already with a couple of doji candles on Thursday and Friday?" This week we can say the same with a kind of evening doji star candlestick pattern. There is a negative divergence between price making a higher top and the indicators making a lower top. There is still a valid extended wave 2 (E2) correction. This may be the end of the Elliott 5-impulse wave up started from wave bottom 3.3. If the move down is confirmed, we should expect a further move down towards the PP pivot level of the month, the 200 average, the 100 average, the 50 day average and the low side of the volatility channel, all around 2020."
It looks like the expected move down is confirmed. There may be another small up retracement the coming week, but medium (look at the weekly chart) and longer term (look at the monthly chart) I expect a continuation of the down move. Next down targets on the daily chart are the 50, 100 and 200 daily averages and the 61.8% Fibonacci retracement level at 1996. Further away we should expect a move much lower towards the median line of the new downward pitchfork.
Weekly chart Comments HERE.
Sylvain Vervoort http://stocata.org/