And in Order to Not Be Too Cocky, Here’s the Bear Look on $SPY

It’s been prudent to have been looking up from the Bloody Monday low, but now that many of those predictions have come to fruition, let’s at least look at the bearish case for a moment. If we’re actually in an even more major correction, it would look about like this, with the Bloody Monday low being an A-wave, and the rally since a B-wave. And we would expect a C-wave to follow. I think this is unlikely given the persistence of the bearish sentiment here, but just know that if they’re going to rug us, the orange box is about where they would do it from.

To invalidate this, we want to stay “up here,” for a bit, consolidating “up here,” and then going on to make yet another high. That will ensure that we have a respectable 5-wave move off the low (instead of only 3-waves). So long as we remain above the January 26th high, this look remains improbable, in my opinion. But just know that until we actually do get a 5-wave move off the low, it is at least possible.

SPY


Note: When articles are first posted, most of them are made available only to my Patreon supporters (I do try to publish some public posts on occasion). Over time (usually after a period of a few weeks or so), I make all of the work public. To gain access to my work when it is produced, please consider becoming a patron. More information may be found on my About page and on my Patreon page. In a nutshell, patrons of any denomination (you get to pick the amount) will be able to read my weekend analyses, Tier 1 members ($20/mo.) get access to all of the articles I write, and Tier 2 members ($35/mo.) get access to those, plus counts on other instruments and my Discord chatroom.


Leave a Reply

Your email address will not be published. Required fields are marked *