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Writer's picturePeet Serfontein

Analyst Thoughts: S&P500 Medium-Term

CORRECTION POSSIBLE WITHIN THE BULL TREND


  • General View: We have observed a significant adjustment within the ongoing 1,2,3,4,5 bull trend, leading to a modification of the anticipated Elliott Wave outcome towards T2. This refinement enhances our analysis accuracy.

  • Preferred Analysis:

    • The presented forecast is intuitive and straightforward, emphasizing the following aspects:

    • We anticipate modest gains towards the TA1*, which will subsequently lead to a corrective phase 4, aiming for S2*.

    • This analysis is grounded in the identification of TA1* as a confluence of target levels, accompanied by overbought conditions and divergences on the Relative Strength Index (RSI).

    • Additionally, a decrease in short-term upward momentum, highlighted by the overlapping MN formation, supports this view.

  • Alternative View:

    • Should there be a breakthrough above TA1*, an extended upward movement towards T2 is conceivable.

  • Important Levels:

    • TA1* and S2* are pivotal points in our analysis, influencing the subsequent market movements.

 




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