The current SPX500 formation suggests the construction of a large bullish impulse that consists of primary sub-waves.
At the time of writing, primary wave ③ is an impulse consisting of intermediate sub-waves (1)-(2)-(3)-(4)-(5).
Minor wave 5 could be a minute impulse, as shown on the chart, and can end near 5017.81. At that level, intermediate wave (5) will be at the 161.8% Fibonacci extension of wave (3).
Alternatively, the construction of an impulse wave ③ is almost complete. It is possible that in the near future the price will increase slightly in the minuette sub-wave (v) to the 4773.83 area.
After the full completion of the wave ③, therefore, the price could begin to fall within the primary correction ④.
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Consequently, in the near future, we could observe a correction decline near 3890.24. At that level, primary wave ④ will be at 38.2% of impulse wave ③.
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