Another possible reversal day today. We opened lower and then sold off in the early morning. We made our low around 1189, which is cose to the 1191 pivot that I said would be key. So far, this pivot is showing that it can be strong support. We bounced higher for the rest of the day.
The waves are starting to once again get a little choppy. Perhaps a top of some sort could be near. But there is no way to be sure of that until we get some more clear direction.
My count on the SPY/SPX is still the same. If this count is going to play out, 1200 could be taken out tomorrow.
It will be key to watch how we react to a break of 1200. If we reverse down and close below 1191, it could mark some kind of a top. If we slice through it and continue higher, it could be exteremely bullish.
My alternate count on the Nasdaq is that we are also in an ending diagonal, however this one could have completed, if not, it will complete early tomorrow and top.
If this plays out, we may open higher and then sell off. If it is really bearish, we may just open lower. However, I am afraid of that since then we could have a potential gap that would need to be filled.
On the daily SPX chart, we are sitting right near a very important resistance line.
Yesterday, the US Dollar did break its upward channel. The next pivot to watch for is 79.70.
If we break below our support, we could be in wave (2).
Apple is also looking very extended up here. It also seems to be flattening out on the daily charts.
The past few candle sticks haven't been very bullish. It could be a rounding top. Breaking below 232.75 could be bearish.
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