The Stock Market since 1993, and why we need a Correction

2 Jan 2021

Since 1993, it looks like we do have 5 waves up, and we are getting to a point where that cycle seems to be ending, and is looking like we could roll over and begin the corrective phase. Key levels where the wave 5 could end on the SP500 are 4000 to 4200. Most patterns prior to a correction are a double top, so next sign to look for is the double top. If this happens, we could see the potential to retest the march lows, or fall below, depending on the extent of the correction.

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Copyright Rohan Karunaratne 2020

2 Jan 2021

Catatan

Note that while I do draw the "correction" over multiple years, personally, I believe that the full ABC move, could be completed in its entirety in 2021, so the timing on the chart is not necessarily "drawn to scale".