Quick Morning Update - Market Analysis for May 25th, 2022

As I noted overnight and this morning, the rally into the high yesterday afternoon/evening is an overlapping rally.  Therefore, it can count as either a leading diagonal for wave [i] of iii, or a b-wave in a bigger wave ii.  So, due to the potential for the more expanded wave ii, I have adjusted support to the .764 retracement of wave i.   

So, in summary, as long as we remain below the overnight high, pressure remains down.  And, should we break down below the .764 retracement of wave i, then it opens the door to the 3767SPX region and a lower low.  However, if we hold support in either wave [ii] or ii, and break out over the overnight high, then it strongly suggests that we are in wave [iii] of iii off the recent low.