Based on available data of SPY, an impulse wave has been observed. I expect Wave 3 to terminate near the 1.61 extension level of Wave 1. As expected, Wave 3 has been in an acceleration channel and once broken, would signal inception of Wave 4.
Provided are the key levels derived from intersectional points made by both the base and acceleration channel, these points are the orange dots. From past observational data, these points fundamentally mark support / resistance levels.
Currently, once Wave 5 of Wave 3 approximates termination, divergence on RSI should be evident and Wave 4 would commence.
The chart demonstrates a possible bearish H&S pattern and subsequent decline of the $SPY.
Not financial advice, but...
Provided are the key levels derived from intersectional points made by both the base and acceleration channel, these points are the orange dots. From past observational data, these points fundamentally mark support / resistance levels.
Currently, once Wave 5 of Wave 3 approximates termination, divergence on RSI should be evident and Wave 4 would commence.
The chart demonstrates a possible bearish H&S pattern and subsequent decline of the $SPY.
Not financial advice, but...