SP500 Intraday World Record High Again!


For awhile the SP500 started going sideways  late last year, but has now charged up to new world record highs.  This morning we are staring at the highest peak of the SP500 in all its recorded history, and it still may not be at an end.  One good thing is that I like to see a well defined top, which can make it much easier to count down from, when it starts to happen.  Any new record high, can also turn into a potential turning point, which still could take this week to play out.

Employment reports come out on the first Friday of the month, so this still could send the market into a wild frenzy in both directions during this week.

We need some decent looking impulse like declines, because 5 waves point us towards a new direction. Any nice 5 wave decline will never last all that long, as it can turn into a zigzag very quickly.  We are witnessing a 5th wave extension alright, but remember, 5th waves are never that strong from a fundamental perspective.

The big goal is to find a permanent home for a Cycle degree wave 3 because without it, we can’t find the Cycle degree 4th wave bottom, and we would certainly not find the Cycle degree 5th wave peak as well.  The reason we are just approaching a potential wave 3 in Cycle degree is because the majority of wave analysts all are working from a 4th wave base, while all my work is done from a wave 2 base.

Working from a 4th wave base always puts us into a higher degree long before any wave structures have been confirmed. Working at degree levels too high, makes us very insensitive or prone to wait for the “big one”, when we should be fully loaded for the bull market to come. When our future wave counts are telling us more downside is to come, but insiders are buying their own stocks back, then that bearish wave count, has no chance in hell of ever being achieved. I’m not talking about any company share buy back program, which I see as a complete waste of shareholder money.

In the next day or two we could see another reversal, but until we see a single spike to the upside remain, anything can still happen in the short term.

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