SP500 Waiting for Second drop before bull continuation
Hi Traders!
Here is my understanding of patterns and possible scenarios for coming weeks.
Besides of economic crisis markets are actually bullish for now and I do not see massive selloffs on the way yet, only this C wave is setting up for next and I am planning to profit from it!
So by the rules we are on the last leg of Butterfly pattern which has a completion above X point.
So if that goes above that point then the first reaction level should be 1.27 Extension which is butterfly completion and has potential to become expanded flat correction before bull resumes.
If we are going to extend up to 1.618 then I am considering running flat and this is even more bullish pattern.
In case it does not break the top we could see more deeper C wave down to 2745 level.
All that being said we have multiple possibilities and everyone needs a plan how to attack it.
Trade Smart!
Here is my understanding of patterns and possible scenarios for coming weeks.
Besides of economic crisis markets are actually bullish for now and I do not see massive selloffs on the way yet, only this C wave is setting up for next and I am planning to profit from it!
So by the rules we are on the last leg of Butterfly pattern which has a completion above X point.
So if that goes above that point then the first reaction level should be 1.27 Extension which is butterfly completion and has potential to become expanded flat correction before bull resumes.
If we are going to extend up to 1.618 then I am considering running flat and this is even more bullish pattern.
In case it does not break the top we could see more deeper C wave down to 2745 level.
All that being said we have multiple possibilities and everyone needs a plan how to attack it.
Trade Smart!