Any human price action will leave a pattern in its wake and it is the pattern that has already developed what we base our thinking on. Price in itself means nothing, but the price where a potential pattern may end at does. The impulse, fell apart fairly quickly as even now we are seeing overlapping wave structures, which I can only fit into a diagonal move.
If there is one more leg up then this could also be another strong top matched by a strong correction. Eventually, it would all have to be labeled ABC1, ABC2, ABC3, ABC4, and ABC, right up to new record highs.
The SP500 did not confirm this wave count as it traveled past, my present wave 3 top. This indicates a potential expanded pattern has happened and expanded patters always dictate that the markets go higher. All this is speculation if a certain wave pattern is true, as where we count from makes a world of difference. Never checking or reviewing any wave count from its origins, can put you into a high degree wave count that has nothing to do with reality and we can read into the market something that will never ever happen. Forecasting DOW1000
( Back to the 70s )or even lower and producing a depression much worse than anything in financial history, is based on a wave count that has never been confirmed and has never been reviewed by the people that are working it.
Yet the majority of wave counters, stick to this high degree wave count constantly waiting for that miracle 5 waves down in Primary degree that they desperately need.
Many may look at this and are expecting much lower stock prices but who is to know that this is just another big correction, even a triangle correction. By mid week we may know a bit more in which way the markets still have to go. Short term I am still bullish as this still looks like a correction.