Micro structure messy - Market Analysis for Jul 7th, 2016

The reversal from today's high in the SPX broke below support cited for the standard impulse count as red wave (v), leaving us instead with a possible ending diagonal. There is a potential abc down from the HOD to complete wave ii of the ending diagonal 5th in the red count, but it also possible to interpret the decline as 5 down, so tentative for now. We likely won't know our answer until tomorrow, but as long as today's low holds my preference remains seeing a little higher in red wave (v) to complete wave i of 3 off the February low. Until then, the blue count will remain on the chart as a viable option.

$SPX - Micro - Jul-07 1354 PM (1 hour)
$SPX - Micro - Jul-07 1354 PM (1 hour)
Garrett Patten is a senior analyst at ElliottWaveTrader covering both U.S. and international equity indices as well as stocks.