Local top likely struck

Today's move down in SPX broke below micro support necessary in order to start suggesting that a local top has been struck as either wave i off the February low in the bullish blue count or wave (c) of iv in the bearish red count. With this development, we should see further downside from here into at least 1894 - 1861.50 SPX, which is retrace support for wave ii in the blue count, or potentially a move down to a new swing low below 1800 SPX as red wave v if 1861.50 SPX cannot hold as support.

Currently, my personal preference is the blue count, and that will remain my expectation as long as 1861.50 SPX holds as support. I will be using this pullback as an opportunity to add to swing longs once price reaches the target support for blue wave ii, using a stop below the February low. 

$SPX - Micro - Feb-23 1330 PM (1 hour)
$SPX - Micro - Feb-23 1330 PM (1 hour)
Garrett Patten is a senior analyst at ElliottWaveTrader covering both U.S. and international equity indices as well as stocks.