The broader view in SPX suggests that it’s correcting the cycle from March 2020 low cycle. While the short-term cycle from 04 January 2022 high is unfolding as Elliott wave double three structure favoring more downside to take place. Down from the 1/04/2022 high the decline to $4222.62 low ended cycle degree wave w in red. Up from there, the index made a bounce higher as a zigzag structure where wave ((A)) ended at $4453.23 high. Wave ((B)) ended at $4292.46 low and wave ((C)) ended at $4593.71 high thus completing cycle degree x bounce.
Since that peak in x wave, the decline looks to be unfolding in 5 wave impulse sequence suggesting that possible zigzag correction in a lesser degree cycle within cycle degree y leg lower must be taking place. Whereas, wave (1) ended at $4364.84 low. Wave (2) bounce ended at 4489.55 high, wave (3) ended at $4267.11 low, wave (4) bounce ended at $4341.51 high, and wave (5) can end in between $4227- $4140 area lower to complete wave ((A)) lower. Then index is expected to see a bounce higher in wave ((B)) to correct the short-term cycle from 2/02/2022 high before seeing the final leg lower in wave ((C)) of y.