Hello traders and investors. Happy Easter holidays! I am Radi Valov, a professional trader and today I will share with you an update on my Elliott Wave analysis of US indices.
Anyone who wants to trace my previous analysis of US indices and get more info and see longer time frames can see them below:
04.02.2022: Elliott waves signal for S&P500
31.01.2022: Elliott waves signals for SP500 and Dow Jones
After my last analysis, in both indices I’m looking at, the upward movement continued just below the targets I described as a supposed area in my analysis.
I consider the rise to the zone of 4640 for the S&P 500 and 35385 for the Dow Jones as wave (i) of wave [iii] of wave 5, after reaching these local peaks corrective downward movement is expected to develop (marked with wave (ii) in the trading chart).
In both indices, the structure of the corrective downward movement for wave (ii) appears to be a complete double zigzag.
My expectations are that after the bottom from April 12 – 34085 for the Dow Jones and from April 18 – 4361 for the S&P 500 the development of the next upward wave has begun, which will take both indices to the foot of their historical peaks.
In particular, I expect a possible target for the S&P 500 in the area around 4680-4710 and 35800-36300 for the Dow Jones, after which we can see a corrective movement again.
I would like to draw the attention of all those who pay attention to technical divergences: at the last bottom for this correction of the S&P 500 from April 18, the Dow Jones does NOT make a new bottom. This discrepancy usually occurs when reaching local bottoms or peaks and is a confirmation in itself that the current wave is exhausted and at its end.
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