Since our last update on SPX500, Index pulled back to 2091 (50 fib) and has rallied to new highs as expected. Focus remain on 2122 – 2139 area to complete red wave “W” which we think would complete a double three i.e. ((w))-((x))-((y)) Elliott wave structure up from 3/11 (2039) low. This is where buyers would be looking to book profits and this profit taking is expected to result in a larger 3 wave pull back to correct the cycle from 3/11 low. We don’t like selling the Index and view wave “X” pull back as the next buying opportunity and it could take us back toward 50 – 61.8 fib zone of the rally from 3/11 (2039) low. Pivot at 3/11 (2039) low should stay intact for this bullish view to remain valid.
We do Elliott Wave Analysis of 41 instruments in 4 time frames (Weekly, Daily, 4 Hour and 1 Hour) with 1 hour charts updated 4 times a day so clients are always in loop for the next move. Please feel free to come visit around the website and start your Free 14 day Trial (No commitments, Cancel Anytime) Live Trading Room is also included in the Trial Plan now.Back