SP500 Analysis

3:30 p.m. New York time

Half an hour before the closing bell. The S&P 500 throughout the day traded a few points below its early morning high of 4232.50. No change in the analysis. Chart updated.

10:05 a.m. New York time

What’s happening now? The S&P 500 E-mini futures twice hit 4232.50 before the opening bell, once on Sunday again on Monday. The peaks are less than six points below the May 9 high of 4238.25

What does it mean? The new highs exceeded the June 1 high of 4230, meaning that the upward correction that began on May 13 is still underway. Under my principle analysis, that correction is occurring within a larger downtrend.

What’s the alternative? If the price moves above 4238.25, then the uptrend that began on February 23, 2020 is still underway.

[S&P 500 E-mini futures at 3:30 p.m., 80-minute bars, with volume]

What does Elliott wave theory say? The higher highs required a repositioning of waves A, B and C within the Subbitsy wave 2 upward correction.

Under my principle analysis, the present wave is wave C within Subbitsy 2 within downtrending Bitsy wave 1, the early stage of what will become a significant downtrend. The downtrend follows the end of wave 5 of Subminuette degreeon May 9.

If the price exceeds exceeds 4238.25, then wave 5 of Subminuette degree is still underway.

Learning and other resources. See the menu page Analytical Methods for a rundown on where to go for information on Elliott wave analysis.

By Tim Bovee, Portland, Oregon, June 7, 2021


Tim Bovee, Private Trader tracks the analysis and trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.

No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decisions for his or her own account, and take responsibility for the consequences.

Creative Commons License

All content on Tim Bovee, Private Trader by Timothy K. Bovee is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Based on a work at www.timbovee.com.