Pullback In Progress - Market Analysis for Jun 25th, 2019

With the market finally breaking below 2930SPX, it signals that we are likely in a 4^th wave pullback, and possibly even something bigger.  But, for now, I think we are in a 4^th wave pullback.

As far as how this pullback can take shape, I have added an a-b-c structure within this 4^th wave.  As I write this, I think we are in a b-wave rally, which should resolve us lower to complete this 4^th wave.  But, there is nothing stopping us from going directly lower at this time.  Remember, 4^th waves are the most variable of the Elliott Wave 5-wave structure.

The main points of this region remain the same.  As long as we hold over 2890SPX, I think we can still push higher one more time to complete this rally off the June low sometime around the holiday weekend.  However, a break down below 2890SPX, with follow through below 2870SPX opens that door to a much larger degree pullback being in progress.

So, overall, the market remains within the parameters we have been outlining of late.