S&P500: Forecasting the next move(s)

In last week’s “weekly digest” for our premium members, we forecasted “We see an ideal … top at SPX2174-2188, followed by a drop to SPX2250-2235 (likely the high end of the range) for … before the market continues to melt up to SPX2300 from which a somewhat larger correction (50p) should occur.” We provided the below chart with the blue arrow showing our ideal target. These price targets are based on our unique wave-tracker tables, at all relevant wave-degrees, available to our premium members.

spx-daily-ti-old

Our forecast so far has been correct as the S&P500 struck SPX277 on Tuesday right at the upper red trendline and then started to decline to SPX2248 on Wednesday. See chart below.

spx-daily-ti

Now the question remains if that was all or if the market decides to tag on another decline. The below chart shows that a possible bearish triangle is forming that could target SPX2235ish. However, there’s also good support at SPX2245ish.

spx-hourly

 

In the alternate case, we can count 5-waves up from SPX2248 to SPX2272, and 3-waves down to Friday’s low at SPX2254, which would then ideally target SPX2302 for 5 waves up. After that we expect a larger decline, but certainly not the end of this  bull. Not by a long shot.

 

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