Applying the Wave Principle on the Global S&P 500 Cash index one can see it would look better with one more down leg to end the wave that started at 2115. That would be part of something. Maybe a ZigZag, maybe not. Markets are patterned but labels come after not before ......
I am showing a potential ZigZag down and yes if the market does print another leg down and if it does stop around 2036 then yes it would make sense to see current market action as a correction that will lead to another round of buying.
But I can tell you I am not holding that scenario with blood in my hand. Some markets are showing a more bearish potentia. Sooooo be careful !
Of note, for short term traders, it is interesting to see that this morning high is exactly at the apex of small contracting triangle, a common spot for the market to take a pause
I am showing a potential ZigZag down and yes if the market does print another leg down and if it does stop around 2036 then yes it would make sense to see current market action as a correction that will lead to another round of buying.
But I can tell you I am not holding that scenario with blood in my hand. Some markets are showing a more bearish potentia. Sooooo be careful !
Of note, for short term traders, it is interesting to see that this morning high is exactly at the apex of small contracting triangle, a common spot for the market to take a pause