By Harry Dent via Iris.xyz.

I sent a market update to Boom & Bust subscribers in our 5 Day Forecast last Monday. I explained that stocks saw their biggest correction since late 2011, which makes that a 4th wave correction leading into a 5th wave final blow-off rally… what I have been calling the Dark Window scenario. My target is around 10,000 on the leading index, the Nasdaq, and around 33,000 on the Dow.

It’s likely we saw the first wave up into early May with two more strong surges ahead. We have just made new highs on the Dow and S&P 500, with the Nasdaq coming close to a new high.

Is this a breakout in the next wave up?

I think it’s likely…

But there is a pattern that still warrants near-term caution…

Note that this megaphone pattern sees higher highs and lower lows until the final breakdown projected to about 20,000 on the Dow.

Read the full article at Iris.xyz.

Subscribe to our free daily newsletters!
Please enter your email address to subscribe to ETF Trends' newsletters featuring latest news and educational events.