Could be totally wrong here but to me it seems like the SP500 is shaping up with an ending diagonal formation to end a massive run since 2009. You could also count it as An ABCDE triangle wave IV and now a new impulse wave 5 starting, but the end result is the same; a jaw dropping end to a multi decade bull run.
If this is correct, we will see the most severe depression we have ever seen. Maybe even worse than our grandparents went through. A massive deleveraging of the total 200 trillion dollar debt bubble the world economies have created in order to keep the show going
I took profits and remain neutral while I'm waiting for a possible pull back to the trendline or previous wave 4 of one lesser degree to re-evaluate the market and possibly enter a long for the final run
This may coincide with a massive blow off top in BTC and other cryptocurrencies to seal the deal and bring massive gains. Again, nobody knows what will happen, but i thought i would share this to warn everyone of the possibilities.
Hope everyone is well
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Ending Diagonals are brutal and usually retrace to their origin. Looks like we may be in for some more pain. This could be the end for a long time, or we may be forming a wave 4 of some sort and finish the ultimate bull market in 2019 some time. But usually ending diagonals appear during the last blow off top of a significant move. In this case, the move was since 2009. Only time will telllllll
or its the C wave of the larger B since its and ending diag. then we will be heading down in 5 waves to complete the C of Wave 4, thats how I have it
Sh-aw-nster
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@ESSCRS, Good call ESS...that could very well be a possibility...following EW for so long, i always see ending diagonals the end of a large run...it will be interesting times regardless friend
ESSCRS
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@smb2222, im watching for it to possibly fill the gap, the gap is just below the ATH where the A wave started, it is also the algo target from the bottom of wave 4 in the ending Diag, if we failto fill the gap that will be a sign of weakness and increase the probability of an impulsive C wave down, it will be a major fake out for most traders and the market makers love to fake us out.