Dow Futures (YM_F) continues to make a new all-time high and the Index should see further upside. Short term Elliott Wave suggests the rally from February 1 low is unfolding as a 5 waves impulse. Up from February 1 low, wave 1 ended at 31662 and pullback in wave 2 ended at 31100. The internal subdivision in wave 2 unfolded as a double three Elliott Wave structure. Down from wave 1 at 31662, wave ((w)) ended at 31228 as a zigzag. Index then pullback in wave ((x)) which ended at 31615, then it resumed lower to end wave ((y)) at 31100 with internal as a zigzag. This move lower completed wave 2 in higher degree.
Index has resumed higher and broken above wave 1 high, suggesting the next leg higher has started. Rally from wave 2 low also looks impulsive and incomplete. Expect a few more highs to end the 5 waves up from wave 2 low and end wave ((i)) of 3. Index should then pullback in wave ((ii)) of 3 to correct cycle from February 23 low before the rally resumes again. As far as wave 2 pivot low at 31100 stays intact, expect dips to find support in 3, 7, or 11 swing for further upside.
Dow Futures 45 Minutes Elliott Wave Chart
