sethsalazar70

SPY Possible christmas rally incoming

sethsalazar70 Updated   
AMEX:SPY   SPDR S&P 500 ETF TRUST
So far everything is playing out perfectly, we had our bounce due to selling exhaustion. We are currently at our first resistance at $386 . If we break this resistance there is a good chance we break up to the $394 to complete our wave 4. Now keep in mind it's christmas time, typically we rally so if we do break higher i won't be surprised.

Elliott wave: We are currently in a pullback creating our wave 4, we can potentially go as high as $394 and still be a valid wave 4 before heading back down to wave 5 sitting at the $375 range. There are bullish wave counts on higher time frames but we will leave them off the chart until a clearer picture is formed.

Indicators:
MFI: We continue to move towards the oversold condition, that being said we can still move higher.
TSV: Continues to paint green candles but if u look at lower time frames divergences are appearing.
ADX: The adx is not respecting this current uptrend, its headed lower which means this leg up lacks strength
MACD: Bullish crossover, typically i like that crossover to be closer to the 0 level to validate a more bullish scenario

Patterns: We broke the ascending wedge , No new pattern formed

Thanks
God bless
Comment:
wow to close to call, we may be headed to gap fill, if we get rejected hard at the gap ill assume the wave 5 is not complete yet
Comment:
touched our wave 5 target, we are now consolidating, looking to move higher tomorrow
Trade closed: target reached
Comment:
just made a update check it out

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