On S&P500 we shifted to the idea that is a 1,2,3,4,5 into an A and now we are working on a B we've got a much more bearish pattern here though we are still below 200DMA and 250EMA. It is look bullish if it wasn't for the bearish rising wedge that we're looking at. Contraction price in the rising wage it is an ABC or leading diagonal of an impulse wave up. I am leaning towards it being corrective and therefore downside to come either way, so we should drop down lower. I am still thinking this is a bull trap. We didn't retrace yet at 61.8% Fibonacci retracement and it possible to go there before turning down or maybe we are top and we are going down from here.
If we take our wave extension from (a) and we project it from the (b) to see where we are from a (c) we are in the neighborhood of 100% extension and we are below 250EMA and we have the 61.8% Fibonacci in the territory as well, so we are right in the resistance zone at the moment in the S&P 500.
If we take our wave extension from (a) and we project it from the (b) to see where we are from a (c) we are in the neighborhood of 100% extension and we are below 250EMA and we have the 61.8% Fibonacci in the territory as well, so we are right in the resistance zone at the moment in the S&P 500.