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Elliott wave analysis of S&P 500 for February 22, 2021

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The S&P 500 could be building an S/H/S top, but we need a break below support at 3,384 for a decline to a minimum of 3,818 with is the measured target of the S/H/S top. The measured target is only the minimum objective to expect. The possible decline could easily be much larger and only part of an even larger top-formation.

To invalidate a break above the right shoulder top at 3,931. It may flip the formation target around and call for a rally to at least 3,996

Trading recommendation:

Sell a break below 3,384 for a decline to minimum 3,818 or buy a break above 3,931 for a rally to minimum 3,996.

The material has been provided by InstaForex Company - www.instaforex.com