The Long Investor
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$SPY TOP 20
🕑 Added 2025-04-16 09:44:46 +0000 UTCThis is the same chart I shared last and we have been expecting a higher high next to complete Subwave 5 next at the 200 MA on the 1hr....and then pull back to complete an ABC pull back to a higher low at $510.
Trumps announcement towards $NVDA yesterday evening is a concern, they have banned $NVDA selling H20 Chips top China, which means $NVDA expect to take a charge of $5 Billion for this ban.
The concern with this structure above is that the price action has only bounced in 3 waves up to $546, we need 5 waves, a 3 subwave bounce implies a corrective bounce and a lower low will then be made....and a lower low would infringe upon $480 which would also invalidate the Contrarian View.
So the timing of this announcement yesterday was very poor and we need to see if this triggers a larger sell off in the market and it is looking weak in the PM now
For me, if the price action drops below the Subwave 4 low at $508 then the structure breaks down and $481 is under threat again.
A lower low under $481 means we are definitely in Wave A for me and we will get an ABC correction for $SPY.
So big session coming up and the for the rest of the week.
Bulls need to absorb this negative $NVDA headline now.
Comments
Brian
Id rather start the larger ABC correction now than push it off. Lets get it over with
Steve Cullip
Shayanak it might be worth you investing some time in The Learning Centre collection around Fibonacci levels, Elliot Wave Theory, and Support and Resistance
Shayanak Kundu
Cap I have a Q. "If the price drops below $508, the structure breaks down" what does this mean exactly? The labels i, ii, iii, iv - what do they then become? To my untrained eye, feels like these waves just come out of thin air sometimes to fit a narrative? I know I'm wrong here and I want to understand. Does iii then become a subwave B in an A B C correction within the primary wave A?
