My last post noted the SPX appeared to be forming a five wave pattern up from the 2141 bottom and that wave "3" of the structure was still under construction. On 9/29/16 this third wave up was completed and the subsequent decline went below the supposed wave "2" bottom. The structure from SPX 2141- 2172 counts as an A-B-C. The subsequent rally so far counts as another A-B-C and could be a double Zigzag.
Wave "(w)" is nearly equal to wave "(Y)" a common Fibonacci relation for this structure.
Also the rally stopped at the declining trend-line.
As I previously posted 9/30/16 was the end of the quarter and a new moon both of which sometimes occur at market turns.
There is a daily Fibonacci time cycle due on 10/3/16. If the SPX fails to go above the high made on 9/30/16 then there is a high probability that a very important tertiary top is in place and the door is open for the SPX to have a sharp decline to the 1700 area late October to Early November.
I will have more information about this in future posts.
Mark
Wave "(w)" is nearly equal to wave "(Y)" a common Fibonacci relation for this structure.
Also the rally stopped at the declining trend-line.
As I previously posted 9/30/16 was the end of the quarter and a new moon both of which sometimes occur at market turns.
There is a daily Fibonacci time cycle due on 10/3/16. If the SPX fails to go above the high made on 9/30/16 then there is a high probability that a very important tertiary top is in place and the door is open for the SPX to have a sharp decline to the 1700 area late October to Early November.
I will have more information about this in future posts.
Mark