Small drop now. Big drop later. On the S&P.
Charting the 5-wave extension of this move, we can see that we're currently topping on Wave A of 5.
What's to come, is a small B of 5 move down, then a C of 5 move up.
The target for the B of 5 move down is $276. Where we'll likely find support and start the final push for this impulse move higher.
Likely targets to the upside include $285.35 and $292.
In either of those scenarios, we'll have completed the 5 wave impulse move upward and begin an A-B-C correction to the downside. The completion of the 5 wave pattern is the best place to enter shorts. One could also enter a long position at the $276 position.
All this will likely happen over the next one to two weeks, positioning us up for a great short setup come April.
Lastly, it's also possible for the current move to hit the $284 target of Wave C of 5, but it looks like it's already topping as we are here.
What's to come, is a small B of 5 move down, then a C of 5 move up.
The target for the B of 5 move down is $276. Where we'll likely find support and start the final push for this impulse move higher.
Likely targets to the upside include $285.35 and $292.
In either of those scenarios, we'll have completed the 5 wave impulse move upward and begin an A-B-C correction to the downside. The completion of the 5 wave pattern is the best place to enter shorts. One could also enter a long position at the $276 position.
All this will likely happen over the next one to two weeks, positioning us up for a great short setup come April.
Lastly, it's also possible for the current move to hit the $284 target of Wave C of 5, but it looks like it's already topping as we are here.
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