AAPL in 3rd Wave Up, Plus Counts on MYL, ALL & XLE

The big stock today was Apple (AAPL), following earnings.  Although we were looking for possibly a little bit lower in the 2nd wave of (c) on the chart, the strong breakout higher has pushed price into the 3rd wave.  This should take it ideally to a target at around 212, which is the 138.2 extension, to complete wave (c) of circle wave "iii" before the next pullback as circle wave "iv" on the chart.

Mylan N.V. (MYL) is trying to get a sticksave.  It did hold above the prior May low so far for the 1-2 start of wave C.  We'll see if it can continue to provide more off the low and develop into a clear five waves up in wave C, which has a target of around 57 into the first half of 2019.

The alternative does remain that a slightly lower low is reached and that price is still in an alternative B wave lower into trend line support before reversing higher in the C wave.

The Allstate Corporation (ALL) is reporting earnings following the close today.  The set-up looks good for a possible breakout forming as the 1-2 start to a circle wave 3, and earnings should be a catalyst to send price higher if that's the case.  The 3rd wave of wave 3 points to 101.50 next.

Lastly, looking at Energy Select Sector SPDR ETF (XLE), the consolidation following the drop-down from the May high still appears to be in progress. So I think we can still see another leg lower in the circle b wave before turning back up towards new highs in circle wave c.  The down-leg should take XLE to the prior two lows at 73, if not to the 50% retracement at around 71.50. 

See the video chart analysis on these stocks.

Garrett Patten is a senior analyst at ElliottWaveTrader covering both U.S. and international equity indices as well as stocks.