SPX: Follow Up of the Short Term EWP
I don't have much to add and there is so far nothing that suggests that I should modify my preferred scenario.
I remain confident that:
- The corrective EWP from the June 4 low is not finished.
- And at the same time the current corrective pullback from the August 21 high should have more business to the down side in order to launch the last wave (C) up of the Triple Zig Zag.
Therefore given the price structure I don't think that an intermediate trend reversal is underway.
Regarding the Immediate time frame I maintain working idea that the probability that price will carry out a Zig Zag down is large with a potential target at the rising trend line in force since the June lows.
Price is trapped between the 10d = 1412 & 20 d = 1404.
We are in a holding pattern as dips are bought and rebounds are sold.
This back and forth action could be unfolding a bearish Triangle wave (B) that would open the door to the wave (C) down.
CPCE is hitting the upper Bollinger band; hence odds are large for a move up by eod. (I am not saying that the tight trading range will be broken)