$SPY TOP 20
Added 2024-01-07 20:47:29 +0000 UTCLike the $QQQ chart, this has started its pull back after rejecting at its ATH line in blue but I believe this is only close to half way through this pull back.
The price action is not even at its 0.236 Fib level yet at $461 either and we would expect a pull back to at least the 0.38 Fib for Wave 2 and that is being kind, as we typically see much lower pull backs for Wave 2.
The 0.38 Fib is of interest as this level, as it is also a previous strong support/resistance level, so I expect to see some battling going on here between the Bulls and Bears.
I am not seeing anything else to suggest that this is not an impulse wave and my Wave 5 target remains at $510, within the constraints of this yellow channel too.
The 0.38 Fib is also sitting right now on the 50 Day MA, so there are 3 points of interest at the same level at $451 here....something to consider.
If we know the market should pull back more, this should offer us some comfort leading up to earning season starting this week ahead.
So continue to keep the level heads and confidence in the plan.....we have seen all of this before and we will see all of it again in the future.
