A symmetrical triangle has formed on the 5 minute charts of the stock indexes, which indicates a probable continuation of the rally into the close today. This does not bode well for tomorrow as a close at the high on Thursday usually means a selloff on Friday. In my opinion, this is it for the bears. Either the market tops here by tomorrow morning or it's over for the intermedate term bearish case. This is the uncle point I talked about as being analogous to silver. We are at the uncle point. It really doesn't matter what your elliott wave count is, higher prices just will not fit a probable bearish interpretation.
For an expanded flat correction, 1.382 x wave A (April high to July low) = 12.27 + 41.77 (July low) = 54.04 = maximum probable price for wave B. While it has been seen in some expanded flats that wave B = 1.618 x wave A, it is rare for the stock indexes. If we count the Dow's rise to October 2007 as an expanded flat, wave b was 1.54 x wave a, but this is a rare case. Let's see what happens this afternoon and tomorrow morning. I am looking for a reversal, but after that I will be squarely in the bullish camp.