S&P 500 – Prepares for the rise to 3.000 pointsHello,
we will see a tremendous increase to 3,000 points after the correction that has just begun ends in the green tradingbox you can see in the chart above. I think that the big correction since all-time-high is done as a triangle. Since then the bulls are laying the basis for new highs: 1-2 Elliott-wave impulsive setup (these setups are the basic pattern of waves with an impulsive character).
Where we are standing?
Since the end of wave 4 (purple in brackets) the SP500 0.33% built a huge first wave (blue in brackets), which now goes into a wave 2 correction pattern. Most of the time second waves retrace the first ones by over 50%, and that’s why second waves are perfect entry-points. I think that we are going to complete wave 2 in the green box shown in the chart above. For me it’s a perfect chance to place long orders.
Where do we go?
After completion of wave 2 (blue in brackets in between the green tradingbox), we will most likely see an increase with goals beyond 3,000 points. And that's why we should prepare ourselves for this very long way.
But: If I am not right and the S&P 500 0.33% goes down under 2,588 points, then we will see new lows as shown in the chart below (then there will be other opportunities to trade the trend):
Please leave a comment or a message, if you have any questions!
Take care
tgo
