Anticipation

I thought yesterday would answer the question whether we were truly heading higher, but the market decided to make me wait. The definitive number that I'm waiting for now is 1251.82, the 12pm high of 11/9. If the S&P gets above that number, it will effectively make the decline from 1277.55 a three wave affair instead of an impulse. Therefore it will suggest the S&P is tracing out a large triangle on the daily chart that would likely mean new highs.

Of course I could be counting incorrectly which happens often enough. But in this case it looks pretty clear.

One thing that I don't like about the pattern since the lows of 11/9 (1226.64) is the pattern itself. It looks very sloppy. So I'm wondering if the S&P can do two things: get above 1251.82 then slightly under 1226.64. Pure conjecture, but just throwing it out there. Whatever happens, 1215.42 should not be violated if the triangle is correct.