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S&P 500: "Stuck" -- But Not for Long
U.S. stocks have flatlined. Is it the summer heat? Is everyone on vacation?
By Vadim Pokhlebkin
Mon, 13 Aug 2012 16:30:00 ET
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This is what the price action in the S&P 500 looks like for the past 6 trading days (chart: Google Finance):

 
U.S. stocks have flatlined. Is it the summer heat? Is everyone on vacation? Or are they watching the Fed, the ECB and Japan's and China's GDP numbers?
 
There is no shortage of the "if...then..."-type discussions on the financial TV networks. But from an Elliott wave standpoint, the answer is much less complicated.
 
The Elliott Wave Principle states that all market action is divided into two main groups: Impulses and corrections. Impulses are strong and unambiguous; corrections are sideways and overlapping.
 
Every trading session, EWI's U.S. Stocks Intraday Specialty Service brings you 20+ forecasts for S&P 500, DJIA and NASDAQ. Details >>
 
From this brief description alone, you understand that -- aha, for at least a week, the S&P 500 has been in a correction. Our intensive U.S. Stocks Intraday Specialty Service agrees and labels the move W-X-Y, a complex correction (some Elliott wave labels erased for this article): 
 
 
But what is it "correcting"?
 
To answer that question, you need to see the larger-degree Elliott wave labeling, posted via charts and detailed analysis now inside U.S. Stocks Intraday Specialty Service. 

Let's just say, the sideways motion won't be here much longer.

 
Every day, between 9:30 a.m. and 4 p.m., our U.S. Intraday Stocks Specialty Service brings you 20+ trend updates for the S&P 500, DJIA and NASDAQ. 

Learn more about this one-of-a-kind Service -- and meet your hard-working analyst >>

 

 

 

 

 

 

Tags: diversification, Dow Jones Industrial Average (DJIA), Dow Jones Industrial Average (DJIA), Elliott wave, Elliott Wave trading, futures trading, online trading, S&P 500
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