Elliott Wave trading idea for S&P500 and Dow Jones - Correction

Hello traders and investors. I am Radi Valov, a professional trader and today I would like to reconsider my Elliott Wave analysis of US indices.

Anyone who wants to trace my previous analysis of US indices and get more info and see longer time frames can see them below:

21.04.2022: Elliott Wave trading idea for S&P500 and Dow Jones - Easter holidays

21.03.2022: Elliott Wave trade idea for S&P500 and Dow Jones UPDATE

09.03.2020: Elliot Waves trading idea for S&P500 and Dow Jones UPDATE

25.02.2022: Elliot Waves trading idea for SP500 DowJones and Nasdaq 

15.02.2022: Elliot waves trading idea for SP500 and the Dow Jones 

04.02.2022: Elliott waves signal for S&P500  

31.01.2022: Elliott waves signals for SP500 and Dow Jones

In my previous analyzes, I considered the correction for wave 4 to be complete, and according to my preferential analysis, wave 5 was developing. However, after last week's collapse, this bullish scenario is invalid and it is appropriate to return to the larger time frames and consider the possible alternatives that this failure has unlocked. Let's start with the biggest chart.

We are at the absolute end of the 3rd wave and it is likely that it ended with the historic peak in January this year. This means that a new downward cycle of a very, very large order is beginning, which will develop in the coming decades.

Let's move slowly to the present day. First the 20th century.

If the last fifth wave is complete, the correction that will develop is aimed at correcting the entire rise that you see in the charts above. In practice, this is the entire growth of US indices.

According to this bearish scenario, the beginning of this correction may have already begun and my expectations are for such a development.

S&P500-Weekly Chart

At the moment, for me, the bullish scenario remains only as an alternative.

S&P500-Daily Chart

According to him, wave 4 is not over yet and is developing as a flat or zigzag correction. Possible targets for the end of this correction or the end of wave A / W in the already preferential bearish scenario are the area around 4030-3900 for S&P 500 and about 31,000 for Dow Jones.

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