KEEP YOUR POWDER DRY MATES! In our May 27th tweet we suggested that although the seas had begun to settle we were convinced that the rally from the May 19th low was counter trend. Our technical thesis has not changed despite the relative calm. We continue to believe that this is merely Wave 4 with a resumption of storm to come in Wave 5 to the downside. The price advance has been capped at a 38.2% retrace of Wave 3 and the Upper Parallel of the Pitchfork (solid green line). The Fast Stochastic and the MC Oscillator have rolled over at key levels hinting the start of a shift in price momentum. Only a rally that over takes the Upper Parallel of the Pitchfork and follow though above the Kijun Span and the 50% level would alter our view.