$SPY TOP 20
Added 2025-04-16 09:44:46 +0000 UTCThis is the same chart I shared last and we have been expecting a higher high next to complete Subwave 5 next at the 200 MA on the 1hr....and then pull back to complete an ABC pull back to a higher low at $510.
Trumps announcement towards $NVDA yesterday evening is a concern, they have banned $NVDA selling H20 Chips top China, which means $NVDA expect to take a charge of $5 Billion for this ban.
The concern with this structure above is that the price action has only bounced in 3 waves up to $546, we need 5 waves, a 3 subwave bounce implies a corrective bounce and a lower low will then be made....and a lower low would infringe upon $480 which would also invalidate the Contrarian View.
So the timing of this announcement yesterday was very poor and we need to see if this triggers a larger sell off in the market and it is looking weak in the PM now
For me, if the price action drops below the Subwave 4 low at $508 then the structure breaks down and $481 is under threat again.
A lower low under $481 means we are definitely in Wave A for me and we will get an ABC correction for $SPY.
So big session coming up and the for the rest of the week.
Bulls need to absorb this negative $NVDA headline now.
Comments
Id rather start the larger ABC correction now than push it off. Lets get it over with
Brian
2025-04-16 11:35:59 +0000 UTCShayanak it might be worth you investing some time in The Learning Centre collection around Fibonacci levels, Elliot Wave Theory, and Support and Resistance
Steve Cullip
2025-04-16 10:20:00 +0000 UTCCap I have a Q. "If the price drops below $508, the structure breaks down" what does this mean exactly? The labels i, ii, iii, iv - what do they then become? To my untrained eye, feels like these waves just come out of thin air sometimes to fit a narrative? I know I'm wrong here and I want to understand. Does iii then become a subwave B in an A B C correction within the primary wave A?
Shayanak Kundu
2025-04-16 09:52:27 +0000 UTC
