When looking at my chart you can watch there that the index is trading in this huge possible bull-flag-formation which is marked in blue where it already several times confirmed the upper and lower boundary, as such a formation is normally it can confirm as those when it happens properly, therefore, it is from high importance to not only hold the lower boundary of the flag sustainable but also the 40-EMA marked in red and the 300-EMA marked in black to form an EMA-bounce here before it can move on to confirm the flag when this doesn't happen and the index fails at the EMA-structure and the lower boundary to fall below it this will cause pressure where lower levels will be reached within the high possible spectrum. Currently, the wave D and E can form which will finish the wave count and possibly also the big bull-flag which will activate higher targets with a decisive move above the upper boundary.
The current situation is a situation where the index has to show if the flag-formation holds and confirms properly or shows to invalidate it which can happen when price closes below the lower boundary. When the scenario plays out accordingly the index can move to its targets but there are still important resistance-clusters lying which first need to be taken out before considering any further substantial bullishness in the middle-to-long-run before this does not happen the index can still reverse and as there are already big divergences in the real economy and stock where many retailers rushing into while smart-money staying out the rallies are highly speculative backed and therefore the scenario should not be kept aside when considering the longer-term perspective and in this case, it is important to not get too overly speculative of possible upcoming rallies and keep the reverse perspective in mind before there isn't validation.
In this manner, thank you for watching, support for more market insight and have a good day!
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Information provided is only educational and should not be used to take action in the markets