Looks like the sub wave higher did occur and touched just a tad above the 61.8% fibline and started to head south thanks the to the below 50 read on the ISM manufacturing number. With today’s intraday high of SPX 1423.73, it almost fulfilled the price target of 1425-1430 on the second part of the up leg and the end of wave 5 of wave 1. The next path is down but by how much? Take out SPX 1410 and that eliminate the most bullish alternate wave and initial expectation that the market should draw down to 1395-1400 but open to a deeper retracement.
The DeMark daily count reached the nine count as mentioned in the previous post. There is no bearish price flip to confirm but there is incentive in the form of the DeMark four hour. It’s around the corner ( Tuesday to be exact ) and looks to give weight of some kind of corrective wave down is in order.
Currently started positioning short and will continue through tomorrow.