This is the morning Elliott Wave Forecast For 12.05.15 on the 3 day 1 min chart of S&P 500…considering how far S&P rallied on Friday, this dip isn’t that bad..relatively speaking.
Best case scenario: If this doesn’t reverse and turn positive in the next 15-30 mins, previous 4 support is at 2070..that’s a long way from here, but S&P rallied almost 50 points from Thursday’s low so a retracement of that size COULD happen…however, if the dip buyers come in here shortly and push the S&P to positive I can see 2107-2110 being tested to the upside at 1.00… 786 was broken at closed above at 2090 Friday so that should give incentive for buyers to ramp S&P higher today..like way higher..
Worst case scenario: No dip buying and we automatically tank to 2070 to test previous 4 support or 618 support in a W2…worst worst case is a full C wave back to 2019, but I seriously doubt that. That would require a serious fundamental issue in the middle of the day, god forbid.
Where I’m leaning: [ms-protect-content id=”61,117″] I expect dip buyers to jump in here and take out 2107-2110 this week and form that big upward 3 which has been laying dormant under an ABC flat for a couple weeks…2200 would be the minimum target based on this formation, and as high as 2400 into next year..that simple 2090 break is what it will take to gather the momentum. [/ms-protect-content]