Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

S&P500: Possible 200 Points Drop At Hands

|About: SPDR S&P 500 Trust ETF (SPY), VIXY, Includes: SPXL, SPXS, SPXU

A Bearish Wolfe Wave pattern has been created on Monthly SPX.

The expected low levels range from 2685-2670.

The index closed at 2878.4 on Aug 26, 2019.

S&P500 - possible drop by 200 points by priceSeries

A bearish Wolfe Wave pattern has been generated on Monthly SPX. Notice how cleanly the points 1-5 have formed. Points 1-3-5 fall in a perfectly straight line while the point 4 extension remains lower than the extension of point 2. Overall a perfect Inverse Wolfe Wave.

At the time of writing this post, SPX was trading at 2871.7. The SPX is expected to hit a low around point 6, approximately 200 points below the current level.

Disclosure: I/we have no positions in any stocks mentioned, but may initiate a short position in SPY over the next 72 hours.