S&P 500 Elliott Wave Update – Is Wave IV Nearing Completion?📊 S&P 500 – Is Wave IV Nearing Completion?
According to Elliott Wave Theory, the S&P 500 is currently in an impulsive structure, and it seems to be completing Wave (IV) in a larger degree. Typically, Wave IV retraces near the Wave IV of Wave III, which aligns with the corrective zone in this analysis.
🔹 Two Possible Scenarios:
1️⃣ Conservative Approach: If price remains within the 23.6%–50% Fibonacci retracement zone, we can expect Wave IV to complete soon, leading to the start of Wave V in the impulsive structure.
2️⃣ Aggressive Scenario: If the price breaks above 6147.43, this wave count might no longer be valid, and an alternative structure (such as an ending diagonal) could be forming instead.
📌 Key Level to Watch:
The invalidation level for this scenario is 5122.40. As long as price stays above this zone, there is a strong possibility of an extended Wave V, with Wave 1 already completed and Wave 2 correcting within the 50%–61.8% Fibonacci retracement range before a potential bullish continuation.
⚠️ Alternative Possibility – Complex Correction?
While this count follows Elliott Wave principles, we should also consider the possibility of a complex correction (WXY or a triangle formation) before confirming a bullish move.
📊 Final Thought:
With the equality of Waves I & III respected, the impulsive structure remains valid unless price enters Wave I territory. Otherwise, we might be looking at a different formation.
💡 What’s your view? Do you agree with this analysis, or do you see an alternative setup? Drop your thoughts below! 👇📈
