S&P500 - 200+ points drop possbile if price is below 4344

S&P500 - As I said on my last post, it's very likely we're in an Ending Diagonal wave 5 here and should therefore not initiate any longs just because we saw price make a new high.

The ED is invalidated if price is to go above 4344.

We can look for support at the noted orange zones at first.

If the Blue impulsive count is correct, we can expect wave 4 to be more sideways and retrace wave 3 only a bit due to the alternation guideline.

Comment:

BTW since I can't share images from outside TV, I've posted a very interesting chart on my Tgram channel showing the S&P's performance on during FED days.