SP500 may already be correcting its upswing from the Brexit low (
Chart 1, labels at the 2193.81 high), as the German DAX appears to have completed a five-wave advance (
Chart 2). If the rally continues next week without breaking 2168.5 first, a potential EDT (Chart 1, 2nd red C) is in play. Beyond 2214.73, the latest small-degree 5th wave from 2147.58 is subdividing higher.
A retest of the breakout area of 2075 to 2100 looks probable (
Chart 3).
Chart 4 refreshes key intermediate-term scenarios we have discussed in recent months.
Chart 5 continues to track a potential contracting triangle in the DAX as one companion scenario to SPX (
Chart 4 red, expanding triangle).
