Nov17spx

This is the pre-market S&P 500 Forecast for November 17, 2015.  30 Day 1 Minute chart.

Best case scenario:  The S&P 500 Futures are up 6-7 pre-market which means we will open around 2059-2061. The key breakout level would be 2065 or 786 of the downward C, and if we follow through with a clear break of that level between 9:30-11AM, that would signal the absolute bottom of this zigzag formation.   I thought we had to get a full 1.618 downward 3 here but we got A = C instead with a powerful reversal pattern.  We could even test top of the B at 2087 this week which is 1.00 of the entire C wave.

Worst case scenario:  Resistance at 2055-2060 followed by a 5th wave to retest 2022.  At this point we’re well past 382 of the C wave which makes it much less of chance of that 5th wave happening.

Where I’m leaning:  We should easily clear 2065 this week and see 2087 pretty quick. The corrective wave we saw in the past two weeks has been pretty fast and violent, so the reversal back to the highs would be equally as quick.  Clear zigzag A = C and 786 reversal of the C formed.