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5/20/2017 SP500 wave structure analysis by Seed

Since the index hit 2352.72 on 5/18/2017, it reverse up to 2389.06 before around 8 points pullback. There are 2 wave counts possible for the index.

The first is bull wave count. Please refer to 4/301/2017 blog that the reverse head and shoulder pattern still is valid.
http://faithwithseedbest.blogspot.com/2017/04/4302017-sp500-wave-structure-analysis.html

  • wave 5-3-5-1: 2405.77
  • wave 5-3-5-2: 2352.72
  • wave 5-3-5-3: target 2438 (wait and see if it can break out 2406)
  • wave 5-3-5-4: wait for where wave 5-3-5-3 stop.
The second is bear wave count.

http://schrts.co/hb2qpF

  • wave 5-3-4-a: 2322.25
  • wave 5-3-4-b: 2405.77
  • wave 5-3-4-c:
    • first possible target: 2320
    • second possible target: 2300
    • third possible target: 2285

After wave 5-3-4, then wave 5-3-5 will start.

How to tell it will evolve into a bull or bear path: watch the recent low 2352.72, if not break this support, the bull path still is valid.

My personal opinion is not for investment purpose, but for education and illustration.

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