Stocks simply can’t go down lately, despite pervasive risks in the markets. However, we do appear to be completing the fifth impulse in the Elliott Wave, and may see a correction, albeit a small one, soon. Additionally, we have a head and shoulders forming. Note that there is a big vacuum zone down to 3140. There are some nested Fibonacci levels in between. It seems 3176 may be a reasonable target for a long position. Notice that the Kovach OBV has stalled while the Chande has dipped (blue and purple lines respectively). This indicates a relief to the bull momentum.
Bonds have retraced, as we have predicted earlier. This is a 50% retracement of the bear trend starting at the beginning of this month. Notice that the Kovach OBV is tapering up slightly, and the Chande has ascended quite a bit. It is unlikely that this is a reversal in trend just yet.