The S&P 500 (ES) has reached long term resistance above 4500 into a cluster of Fibonacci resistance levels starting at 4505 to 45014 and then at 4520 to 4535.
While there remains the possibility for the market to continue the advance ultimately reaching resistance at 4555 to 4600 but the end result is likely to be the same.
And that is a major Super Cycle Wave IV correction. You will see in the video that the bull market that I've been counting from a Super Cycle degree level all the way down to a Minor degree level has been in process from the 1932 depression lows.
That suggests the ES has been in a bull market for 90 years. While there have been large corrections, with some being called "crashes" as in 1987, 2000 and 2009 those were on a lower degrees with 2009 being the completion point of wave C of the Cycle degree wave 4 correction.
That correction took 9 years to unfold and ultimately wiped out 50% of the market value. The same percentages were also felt in the DJIA and the NASDAQ.
The crash of 1987 was labeled as a Primary wave 2 correction, with the 2000 decline being wave A of the Cycle wave 4 correction. The correction now due is on a Super Cycle degree level and expected to unfold over the next 5 to 10 years.
There will be many trading opportunities for more active traders from position traders to swing traders to day traders.
Those opportunities will include strong declines and strong rallies - many taking over a month to unfold. The overall bias or trend will be bearish. It will involve a change in "mindset" from bullish to bearish.
That may not be easy for many traders due to the negative connotations a bear market brings about. Fear will dominate and often cause moments of panic and discourse as to when it will end and what damage can be done on several levels from corporate to government, to personal.
Being prepared and accepting what is happening not only in our country but globally is just as much an emotional and mental preparation, but one that includes long term investments in bonds, forex, precious metals, commodities, equities and all the various derivatives.
Panic should not be on your To Do Prepare list.
I have found over my years that the best tool to fight fear is knowledge and acceptance. Knowing what and when to make changes keeps you in front of the chaos and not necessarily in it. It allows you to act instead of react.
Please watch my video below to understand where the ES is now and what appears to be right in front of us ready to begin.
Then consider joining my Trade Room for daily updates and instruction in a live trading environment. I am also offering additional Bundles for one on one coaching/ with the trade room.
I will always leave several hours in the trading day open for members to receive one on one trade coaching in a live market environment.
This may be a great opportunity to take advantage of my Summer promotions.
Check out my history in my bio on www.logical-signals.teachable.com.
My goal to to provide an educational space where members can feel comfortable and learn.
Perhaps you would like to do a deep dive into Elliott Wave learn the basics and the advanced techniques.
If this is important to you consider purchasing my course "You Are Your Own Guru". The first 4 lectures are available for free - use the coupon code GURU4 at check out.
The next 4 lectures are available for $49. Both are available at www.logical-signals.teachable.com.
Learn how to correctly apply Fibonacci retracements and extensions. When to use them and what are the most common levels. Learn the Fibonacci relationships between the waves.
If this is your style then please consider one of my Summer Coaching/ Trade Room bundles.
The opportunities coming will be immense and frequent for several months to come. Knowing the probable path will allow for preparation and entry and exit levels from a daily perspective all the way down to a 2 minute chart perspective.
I look forward to welcoming you as a future member of Logical Signals.