As I have said many times, I dabble in Elliot wave. There are several drawbacks to this model:
1. Not qualitative enough for today's environment
2. Always an alternative count
3. Lack of clear entry, trade management and exit signals
4. Less emphasis on market leaders - which is where you make the real $
All that said, this model recognized the bullish potential of the lows reached in Q1 2016, and pointed to much higher highs for a final bull market high. On 3/19/2016 with SPX at 2050, I was projecting SPX 2250-2500 to land in 2017Q2 to 2018Q2 - not bad!
From another post on 6/30/2016: "If all this is correct then we are about to get the last best move of the bull market over the next year or two." Nailed it!
Now what? If the concept is unfamiliar to you, please click the tag and check out prior versions. The last update from 3/5 spells out where we are in the model.
Market is currently in:
W5 of monthly
W3 of weekly, with wave 3 subdivision of larger wave 3 (w3/W3) top on 3/1
w4/W3 is now playing out.
If w4/W3 matches W2, then we will see 2270 area. If w4/W3 matches w2/W3, then it will be 2290. Though I am optimistic for a bounce here, let's say 2270-90 would be a better and more rewarding technical buy.
Take note: if model is correct, the remaining up portions of this bull market are limited to:
w5/W3 on weekly SPX chart
W5 on weekly SPX chart
Or translation, wherever low forms, up, bigger down, bigger up - then that's it!