Trend Resumes

It was sell the news, and a VIX in the teens was the gift tell.

 click to enlarge
 Note that the 2 wave lasted 23 calender days as did the 4 wave. Equality in time suggests they are of similar degree.

Wave 4 DOES retrace a significantly greater percent of wave 3 than common and some are labeling it a 2nd wave. 

A common Elliott 5th wave measured target is 5=.618 of wave 1 thru 3 or 1856.
Seems kinda modest under the circumstances if it 's making new lows by only 10 points.

Neither wave 1 or 3 extended, so the next leg down could extend, whether a 5 or (3) wave.
Typical extensions are 1.6 x, 2 x, or 3x the preceding wave or 

1.6x =1643
2x= 1548
3x= 1312

Looks like a lot but a relatively modest 20% correction is 1625 and a .382 retrace of 666 to 2032 is 1574.


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