To outward appearances it appears that this morning's rally and subsequent decline are part of the consolidation since 4/1. However, the 5 up in DJI and SPX should be interpreted as the start of wave (v) since the DJI rally terminated close to the old highs. It would have been unusual but not rare for the wave ii of wave (v), which we have witnessed today, to be a triangle/rectangle and, had it been so, would have been very bullish. The zigzag that we instead experienced is emblematic of a typical rally in the making. Wave ii should be complete. If so then a new high for DJI should register rather quickly.
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