S&P 500 ETF (SPY) eyes renewal of uptrend following corrective phase [Video]

Elliott Wave Forecast Team ElliottWave-Forecast.com

The short‑term Elliott Wave outlook for the S&P 500 ETF (SPY) indicates that the cycle from the March 31 low concluded at $760.4 in wave (1). Following this advance, the corrective phase in wave (2) appears to have ended at $716.55, as reflected in the 45‑minute chart. For confirmation of a sustained bullish cycle, the ETF must decisively break above the prior wave (1) peak at $760.4. Such a move would eliminate the risk of a double correction and strengthen the case for renewed upward momentum.

The internal structure of wave (2) unfolded as a classic zigzag pattern. Wave A terminated at $721.23, while wave B reached $756.68. Subsequently, wave C declined to $716.55, completing the corrective sequence in higher degree. From that point, the ETF has turned upward in wave (3). Within this advance, wave ((i)) ended at $739.89, followed by a modest pullback in wave ((ii)) that concluded at $732.09. These developments suggest that the instrument is building a constructive base for further gains.

In the near term, as long as price action remains above $716.55, dips are expected to find support in either three or seven swings.The implication is that buyers are likely to defend key levels, thereby sustaining upward pressure. A decisive break above $760.4 would confirm the resumption of the bullish trend and open the path toward higher targets consistent with wave (3) progression.

S&P 500 ETF (SPY) 60-minute Elliott Wave chart

SPY Elliott Wave [Video]

Author

Elliott Wave Forecast Team

ElliottWave-Forecast.com

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