SPY Has Finally Now Neared Its Final Target Of 570!Traders,
It feels as though I have been discussing a SPY top at around 570 for years now and I can see from the history of my posts that this is actually true.
I first started with the premise that the U.S. stock market would experience a blow-off top of sorts. Elliot-Wave theory and technicals seemed to support this idea. Though admittedly, I am nowhere near an expert in this area, I went with it, following the technical guidance of those who were.
It was not too long thereafter I spotted something on the charts that I was very familiar with. This pattern supported and confirmed the idea that stocks would blow-off. What I spotted was a longer-term (2 year) inverse head and shoulders pattern. This inverse h&s played out and gave me my target of 570.
2 years later, we are finally almost there.
Targets are not meant to be absolutely precise. Close enough is both good enough in hand grenades, horseshoes, and in calling market tops/bottoms. Therefore, not wanting to press my luck, I have decided to finally start taking some profit and moving to cash. Though, my target definitely could be exceeded, it is also possible that it may not be reached. I don't think the latter will be the case but I have been wrong before and could be wrong again. If I had to guess rn, I'd say this blow-off top could extend to a time frame just before election shenanigans begin. We are already seeing some of the nonsense here in the U.S. and thus, I know time is running thin. Before all hell breaks loose, SPY could touch 650.
And then? Anyone's guess.
Best,
Stew
