Quick Update - Market Analysis for May 17th, 2022

With the market pushing through the high from yesterday, we have a question that needs to be answered:

Is that consolidation yesterday a 4th wave (either in the c-wave of wave iv in yellow or in wave [i]) or is it a 2nd wave?

I believe the answer lies in the pivot overhead.  And, I am focused on the 4110ES region, the bottom of the pivot.  I am sorry to move the resistance by 40 or so points, but the nature of the action forces me to do so.

Until the market clarifies how it will handle the region below the pivot, I have to leave the potential on the chart that this is a 5th wave in the c-wave of wave iv in yellow, which still allows for a lower low in yellow wave v.  But, once we start moving through the 4110ES region, it makes that potential significantly less likely, as we begin to approach the wave ii in yellow and a break over the wave ii invalidates this potential as being a wave iv.

So, it may take a few more days before this is settled, but I do have to adjust resistance due to the question as to what yesterday's consolidation represents.