Since early February 2018 I've posted that the SPX could be forming an Elliott wave Horizontal Triangle.
Now in early May there's solid Fibonacci evidence that the SPX Horizontal Triangle could be complete at the bottom made on 5/3/18 at 2594.62
Within a Horizontal Triangle the most common Fibonacci relationships occur between alternate sub waves such as wave "b" is related to wave "d" or wave "a" is related to wave "c"
For the supposed SPX Horizontal Triangle from 1/26/18 wave "d" 163.69/269.21 wave "b" = .608 very close to the golden Fibonacci ratio of .618
Wave "e" 122.87/248.10 wave "c" = .495 very close to the Fibonacci ratio of .50
My previous posts noted that the SPX could reach 3050 in May of 2018. After completion of a Horizontal Triangle there's usually a post triangle trust in the direction of the primary trend. If the Horizontal Triangle is complete at SPX 2594.62 its possible that a trust up could reach the 3050 zone within May 2018.
Within a standard Elliott five wave impulse pattern, wave "5" is usually equal in length to wave "1"
In this case the five wave impulse began in February 2016, and the SPX could now be in wave "5" up.
Wave "1" is the SPX rally from February 2016 to June 2016, which had a growth rate of 17%.
When calculating the wave "5" peak after a Horizontal Triangle - use the end of the Triangle not the low point.
In this case the calculation is made from the "e" wave low at 2594 not the lowest point of the triangle which is the February 9th bottom at 2532.
Adding 17% growth to 2594 targets SPX 3035 which is very close to the main target resistance at 3050. - Please see my prior posts on this target zone.
Finally, since November 2017 I've been using the "Market Profile" method to study the SPX.
This methodology lists seven levels of directional conviction for a trading day. The SPX move up on 5/4/18 was classified as a "Trend Day" this is
the post powerful and dynamic of the seven conviction levels. Since November of 2017,its only the third time I've seen this level of strength. The other
two time happened several trading days after a bottom. This is the first time I've seen a "Trend Day" just after a bottom.
Elliot wave patterns, Fibonacci relationships, and Market profile strongly suggest that the SPX has begun a powerful move up that could last several weeks.
Mark
Now in early May there's solid Fibonacci evidence that the SPX Horizontal Triangle could be complete at the bottom made on 5/3/18 at 2594.62
Within a Horizontal Triangle the most common Fibonacci relationships occur between alternate sub waves such as wave "b" is related to wave "d" or wave "a" is related to wave "c"
For the supposed SPX Horizontal Triangle from 1/26/18 wave "d" 163.69/269.21 wave "b" = .608 very close to the golden Fibonacci ratio of .618
Wave "e" 122.87/248.10 wave "c" = .495 very close to the Fibonacci ratio of .50
My previous posts noted that the SPX could reach 3050 in May of 2018. After completion of a Horizontal Triangle there's usually a post triangle trust in the direction of the primary trend. If the Horizontal Triangle is complete at SPX 2594.62 its possible that a trust up could reach the 3050 zone within May 2018.
Within a standard Elliott five wave impulse pattern, wave "5" is usually equal in length to wave "1"
In this case the five wave impulse began in February 2016, and the SPX could now be in wave "5" up.
Wave "1" is the SPX rally from February 2016 to June 2016, which had a growth rate of 17%.
When calculating the wave "5" peak after a Horizontal Triangle - use the end of the Triangle not the low point.
In this case the calculation is made from the "e" wave low at 2594 not the lowest point of the triangle which is the February 9th bottom at 2532.
Adding 17% growth to 2594 targets SPX 3035 which is very close to the main target resistance at 3050. - Please see my prior posts on this target zone.
Finally, since November 2017 I've been using the "Market Profile" method to study the SPX.
This methodology lists seven levels of directional conviction for a trading day. The SPX move up on 5/4/18 was classified as a "Trend Day" this is
the post powerful and dynamic of the seven conviction levels. Since November of 2017,its only the third time I've seen this level of strength. The other
two time happened several trading days after a bottom. This is the first time I've seen a "Trend Day" just after a bottom.
Elliot wave patterns, Fibonacci relationships, and Market profile strongly suggest that the SPX has begun a powerful move up that could last several weeks.
Mark