SPX500 is ready to make its final move up in this corrective wave off the low earlier this month. Gartley forming within symmetrical triangle. Bounce zone going into open is 3900 and the triangle support trendline will act as resistance near term.
Target is 3950 by tonight, after that will need to show support a higher low and if that holds it will likely complete this leg up around 4000-4010.
From 4000 I could see a couple scenarios unfolding:
- harsh rejection and continue down to make a final low in the bigger wave IV (bottom could be 3500s).. would be a spring in the accumulation phase and shake out weak hands before markup
- controlled pullback after 4000 to form double bottom or higher low
- or possibly a squeeze to 4100-4200 (max 4300) where it would test that overhead, after that it would be seen as a sign of strength and then backup/retest of 4000 before mark up
Target is 3950 by tonight, after that will need to show support a higher low and if that holds it will likely complete this leg up around 4000-4010.
From 4000 I could see a couple scenarios unfolding:
- harsh rejection and continue down to make a final low in the bigger wave IV (bottom could be 3500s).. would be a spring in the accumulation phase and shake out weak hands before markup
- controlled pullback after 4000 to form double bottom or higher low
- or possibly a squeeze to 4100-4200 (max 4300) where it would test that overhead, after that it would be seen as a sign of strength and then backup/retest of 4000 before mark up
