Wednesday, 23 June 2010

17:03 BST - SPX Update

Here's one possible way to count today's action in SPX:

SPX 2 min chart:

If we take out today's low, it might still be a correction, in the form of an expanded flat, which might give it the opportunity to retrace up a bit more, to, say, the 38.2% level (assuming we are in a 4th wave correction).

Of course, we may have started the 5th wave down on this count, from the 1091.76 high. It doesn't immediately strike me as impulsive, though it could be forming a diagonal - just something to watch.