It's called "The Big Picture," so not to lose sight of the change in character the market has undergone this year, from a Bull Market to a Bear Market and nothing a few inflation statistics mid-year is going to change it. When this counter-trend rally is over there will be a free-fall into a Wave 3 down, no matter what the cost of gasoline in Omaha was on June 1st. Because pattern recognition tools have spit-out some false alarms is not a reason to ignore the next Sell Signal, in fact it is all the more reason to pile into it. In several updates sent out in early May it was suggested that the summer of 2022 would see a volatile Wave 3 down that will produce some of the best option profits of the year. I stand by that forecast as well as my defining "summer of 2022" as some time between Memorial Day and Labor Day weekend. That, coupled with not much room left for this testy Wave 2 retrace, tells me to pay special attention, August doldrums or not, to the days and weeks directly ahead. All benefit of the doubt goes to new and/or repeat Sell Signals, which will be accompanied by new option recommendations. IWM Intermediate Term Next Red Down Arrow - Pending DJIA Short Term Dropping out of the Fib reversal window, breaking the Wave 2 up channel AND the generation of a Sell Signal (red down arrow) could all happen on the same trading day, or even same trading hour. Standing-by with new option recommendations. SPX Long Term
