S&P may be ripe for another round of short selling on Tuesday. The expected wave iv retracement should be complete, and wave 5 down has begun, with wave iii of v to push toward testing new lows. Third waves are steep, fast, and deep movers; good money makers.
There is an alternate count for wave iv to be continuing sideways in a triangle formation, with c nearly topped out, and a w.d down then a w.e retracement that launched larger wave v down. This is still on the table, but an immediate strong move lower below the previous wave would confirm iii of v is underway. Either way, the same result is down, the triangle just delays with 2 more small waves before the plunge.
Keep in mind, a large and possible sharp retracement is expected after this wave 3 low is complete, I usually exit and re-enter after the correction is finished, preferring to only trade in the direction of the larger trend. Good trading.![](https://resources.faireconomy.media/images/emojis/64/1f60a.png?v=15.1)
There is an alternate count for wave iv to be continuing sideways in a triangle formation, with c nearly topped out, and a w.d down then a w.e retracement that launched larger wave v down. This is still on the table, but an immediate strong move lower below the previous wave would confirm iii of v is underway. Either way, the same result is down, the triangle just delays with 2 more small waves before the plunge.
Keep in mind, a large and possible sharp retracement is expected after this wave 3 low is complete, I usually exit and re-enter after the correction is finished, preferring to only trade in the direction of the larger trend. Good trading.
![](https://resources.faireconomy.media/images/emojis/64/1f60a.png?v=15.1)