However, the 5 up remains in the SP and DJ futures, so the decline today could be the correction of the rally since Tuesday and another wave up remains. I expected this wave b to be a triangle, which is common for b waves, but the market broke downward making wave b a double zigzag. If the market does rally Monday then I'll expect the top on Wednesday.
The bottom line is that the stock market is on the verge of a major decline. I'll be increasing exposure this week.
One reason that I believe that a rally will develop early this week is that metals look primed for a bounce to relieve the dramatic oversold condition. This bounce will drag stocks with it. The PM1 longer-term forward sentiment gauge remains pointed firmly down. However there is a cycle in silver that still has a couple of days up left and gold looks like a new high this week with a strong cycle input.