I have been following SPX since the crash and counting the waves per the Elliott Wave Principal. As it unfolded, the top of wave iii looked like a convincing v, but the way that wave iv unfolded invalidated that. Wave v will end close below the .786 fib, which is pretty surprising considering the circumstances of the economic situation (JPOW go BRRR).
Wave iv last been particularly nasty since it has been hard to pin point the top of wave iii and its been a complex correction, even at higher time intervals.
I am looking for a push up to 3060 to 3080, which is a pretty painful spot for shorts, as well as a horrendous trap for the bulls. I think the top of v will be short lived and will mark the end of an extremely powerful B wave. This will be followed with an equally powerful C wave back down to re-test the lows. Technically, we should see 1700 on spx, but thats super bearish and it may end with a flat, so look for at least 2200 as the target on the way down.
At the end of the day, I think reality will start to set in with upcoming economic reports and Q2 earnings and this irrational market will come back down to earth. Go luck and stay safe out there!
Wave iv last been particularly nasty since it has been hard to pin point the top of wave iii and its been a complex correction, even at higher time intervals.
I am looking for a push up to 3060 to 3080, which is a pretty painful spot for shorts, as well as a horrendous trap for the bulls. I think the top of v will be short lived and will mark the end of an extremely powerful B wave. This will be followed with an equally powerful C wave back down to re-test the lows. Technically, we should see 1700 on spx, but thats super bearish and it may end with a flat, so look for at least 2200 as the target on the way down.
At the end of the day, I think reality will start to set in with upcoming economic reports and Q2 earnings and this irrational market will come back down to earth. Go luck and stay safe out there!