Dec04spx

This is the Elliott Wave Forecast Of S&P 500 for 12.04.15 – Zigzag/ABC Flat in progress..how low do we go before reversal?

Best case scenario:  Best case is that we’re in either a flat or zigzag…there would be a gap down tomorrow that either drops and holds 2019 or the A wave support level in a flat and reverses over 2060 to setup a W3…that would be 2 before 3 before a long extended upward move to as high as 2350-2400 in a full 1.618 move..

Worst case scenario: The correction in the C wave breaks A wave support and forms a full zigzag..it would test 1995-2000 before reversing into an upward 3…that sounds bad considering that’s 40 points away, but if you can handle it, the reversal would come quick after testing that support level.

Where I’m leaning: Zigzag or flat scenario in W2 does have bit more downside to go here, but in both cases we end up reversing into an upward 3…tolerance for pain is the play here..can you handle watching zigzag support hold in at S&P 2000 or not..I’m still holding positions, and I think I can myself.