Warnings Signs But No Sell Signal Yet

We were looking for a cycle low around the 1st of July and a short term high on the 5th of July. Price action pretty much fulfilled this projection. Next we might consolidate for a bit before attempting another high on or around the 9th of July, and this has the potential to be a major one. 

Our Odds Indicator stays long as it has been for the last 100+ points. Internals have not been that great, very much in whipsaw mode due to market breadth being bad, as there are still only a few stocks performing while the majority are lagging. However, it is not time to short until price action confirms what the internals are saying. 

There are some warning signs showing up in the Odds components but no sell signal yet.  This can change in the coming week, especially considering that cycles are looking for a possible major high very soon. If the major high idea is correct, then a deep pullback into middle August is possible. But this does not mean much for our trading position until we get an actual sell signal.  We stay long until that happens.

Princely Mathew hosts The Smart Money premium service at ElliottWaveTrader.