As illustrated here some interesting variations are taking place in the “surge — drift — flush” pattern which has been in effect since July.  In the present manifestation we count the surge as 12 days, and the drift as 15, although a higher high has been made during the drift.  Also the drift has certain broadening aspects. So far the flush has not appeared, so we wait confidently for Goldman to attack the market and furnish the flush we need to finish this pattern.

All of this we interpret as general uncertainty and uneasiness of “they” who are worried that the rally since March is getting long in the teeth, and are worried about being bitten in a downwave.

The last trendline is dominant, and it, and the last Basing Point at November’s low still portray an intact uptrend.

A breaking of the trendline and destruction of the Basing Point would put us short.

For the very adventurous selling calls here might be amusing.  Don’t do it unless you can lose and laugh about it.