SPX - The Alternative Count, in detail
Updated
If we can't get over this morning's highs we may be in the middle of a larger ABC move to completely wash out the market. This would give the "it's 2008 again" crowd encouragement to go all in short and the bulls to give up completely before the larger bounce in January.
If we are in a C wave down, very few are talking about it (none that I've seen at least).
A "C wave" should be very fast - probably finish by January 1st. It's possible 1-2 of C was completed yesterday as I mentioned. If 3 of C is next, expect a large gap down on Monday and continued forced selling, high vix readings, high SPX put/call readings etc. The clue will be taking out the low from yesterday. If they do that, it's game on for a big washout before the end of year.
The count is invalid if futures gets over 3880
read that again!
Good luck!
If we are in a C wave down, very few are talking about it (none that I've seen at least).
A "C wave" should be very fast - probably finish by January 1st. It's possible 1-2 of C was completed yesterday as I mentioned. If 3 of C is next, expect a large gap down on Monday and continued forced selling, high vix readings, high SPX put/call readings etc. The clue will be taking out the low from yesterday. If they do that, it's game on for a big washout before the end of year.
The count is invalid if futures gets over 3880
read that again!
Good luck!
Note
took a short position at open, stop at the morning highs on ES.Note
move from this mornings economic numbers looks like ABC for 2 of C Note
leading diagonal finished for wave 1. If correct the next wave should break yesterday's lows and traders will recognize this is not the bounce they expected. Note
moment of truth Note
spy stopped so far at .618 fib of the move down yesterday, ideal shorting area with a tight stop. Note
closed the day between the 61.8 and .658 fib. Sellers would not allow it to go higher, interesting Note
Good morning, I hope you had a nice holiday weekend. Futures pumped a bit overnight, still looks like a B wave in progress. I can see a move up to 3920 (fib line) and the reject - that area is also strong horizontal resistance. Over 3940 on futures and likely we go to 4k Note
put / call on equities is quite low - ycharts.com/indicators/cboe_equity_put_call_ratioPut/call on SPX also - ycharts.com/indicators/cboe_spx_put_call_ratio
Many are calling for a santa rally, but I think it could be a santa trap if we reject at 3920 area
Note
Another count possibility is an ending diagonal for the 5th wave, this also looks good to me and maybe more accurate. Note
TSLA down more than 5% premarket. This is one of the more widely held stocks among large funds.Note
Potential structural support at about 3780-3765 (purple) Note
18ma weekly is the battle ground. bias is down until they can hold over it for a week Note
closed the day under all the daily ma's and the 18 weekly ma. Daily candle looks like a hanging man. Note
also the slow stochastic is embedded bearish - if they lose it tomorrow it's more positive. PUT/Call still skewed bullish or NeutralNote
no change this morning, I still expect a drop to the orange trendline area. That's also the price area of the daily Bollinger Band Note
another possibility is we have an ending diagonal, which would shake out many hands before a pump higher. Note
fast move up is likely C wave, watch out for bull trap here. Note
yep bull trap, looks like 3750 may be next Note
put/call on equities and spx is still surprisingly low. Note
fib support on SPY and SPX cash, might cool off a bit here, but I think it will continue lower. Vix is barely up today.... Note
Good morning, it does look right now that we're in a triangle formation, which can mean a 4th wave before the final 5th, or a B wave before the final C. Either way, I think it's just a consolidation before the next down move, but we'll see more later. This may be invalidated after 8:30 jobs numbers and will update as I see it. I have some errands to do this morning, will get back to the charts in the afternoon. Note
if a C wave will follow, this may be a bear pennant forming. babypips.com/learn/forex/pennantsNote
A rally today past 3820 may look bullish, but I'm thinking it won't be. Note
target zone for that possible E wave is in reach here. Note
E has reached the trendline area, it could go higher but if it's a pennant it should not get over the C wave. Price on ES is different, so please check your charts. RSI is already showing hidden bearish divergence on mid time frames. Note
spy right to the 18ma on the weekly - again Note
Good morning, bear pennant still looks fine, no breach of the C wave. My guess is next week is going to be a surprise move down for the new year unless they can save this today. Note
we've had a bearish cross of the 18 over the 50 and 100 ma's. we are also embedded bearish on the slow stochastic. Note
spx put/call still near the lows 
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