Last week and, in fact, since early August, I showed by using the Elliott Wave Principle (EWP) how the S&P 500 – albeit through several unforeseen twists and turns – could reach SPX 4550-4600 before the anticipated 200-300p correction starts.
Last week, I showed in detail how last Thursday’s SPX 4467 low could be (blue) nano wave-iv. See figure 1 below.
And “one last blue nano wave-v (talk about micro counting) to SPX 4550-4600 with an ideal target of SPX 4559” would then be under way “as long as [the prior] week's low at SPX 4368” holds.
This option was confirmed as the index did not move below the outlined bearish cut-off levels and the S&P 500 is now in this blue nano wave-v to ideally SPX 4559-4615. Should we make it a nice round SPX 4600+/-50? Then, we have a nice ~1% margin of error.
Figure 1: S&P 500 hourly chart with detailed EWP count and technical indicators.
Of course, nano wave-v can subdivide higher, i.e., an extended fifth wave. But that is impossible to know beforehand. For now, I simply want to keep an eye on the price: SPX 4600+/-50. A drop below SPX 4467 is now a good sign that (black) major wave-3 has topped and black major wave-4 down to ideally SPX 4165-4240 is underway. Full confirmation is achieved on a break below SPX 4368.