Just Meandering Now - Market Analysis for Aug 27th, 2024

As I have been outlining over the past several days, the SPX is still coloring between the lines, and not confirming whether the 4^th wave has indeed completed.  And, at this point in time, if it has not completed, then we have moved into a much more complex w-x-y pattern.  

Now, of course, if we take out yesterday’s high, then I believe it confirms the ending diagonal path in wave 5.  However, as long as we remain below the high struck yesterday, then the more complex structure for wave 4 remains alive and well.

When we look over at the NQ, we have a minimum number of waves in place to consider its wave 4 complete.  But, the ideal structure would still look best with one more decline.

Overall, the main point upon which I believe you should focus is that the market is still likely pointing higher for a 5^th wave.  So, attempting to short this market just yet would not be advisable.  While we can see one more drop before this 4^th wave is complete, as long as support continues to hold, I am looking higher for one more push before the market provides us with the next decline which should determine the difference between the blue and green wave counts in the coming months.