The S&P 500 Will Complete a 9-9 Reversal Pattern Tomorrow - NASDAQ Finished a 13 Count Today

My signals remain bullish. If we turn off of resistance levels, divergences begin to play out in all the different time frames and we need to see them revert back to bearish in the daily and the weekly time frame. S&P daily here, NASDAQ or I'm sorry, S&P uh weekly here.

Again, I'll be looking at this uh by the end of the week. Do we start seeing some red or not? what happens around these resistance levels.

Now, previously, previously, the S&P got a nine count here, and I told you with the nine count, either you get a pullback followed by a trend extension or you get a reversal or you just get an immediate trend extension. We got here an immediate trend extension tomorrow. We're going to get a nine count tomorrow.

We have an eight of a nine. Uh bar eight is the high of the count. we move just a fraction above the Friday's high.

So if bar eight or nine is the high of the count, you will have a perfected signal and you'll have a 99 reversal pattern uh tomorrow. If and nine a bar 9 does not have to be the high of the count, but it could be we got earnings and after hours. We'll see how that impacts the market by tomorrow.

Potential 99 uh reversal pattern which is showing price exhaustion. S&P daily and NASDAQ 100 got a six of a nine count today, but it completed a 13 countdown sell signal. We had uh a 99 here again a nine followed by another nine, but that nine only gave us a pullback.

And now we get the trend extension completing a 13 count showing complete price exhaustion. Again, NASDAQ slamming into some major long-term resistance along with the S&P 500. We're getting potentially a 9 count tomorrow on the S&P where bar eight or nine could be the high of the count and a 13 count here uh on the NASDAQ 100 again with these potential five leg push pushes higher.

Uh S&Ps may not be done yet. NASDAQ possibly is uh on the 68 minute chart. Some things to be aware of.

We're getting a 13 count on the NASDAQ 100 daily chart. We're getting a 9 count potentially tomorrow as long as we close above the bars a bar from four bars ago on the S&P 500. And we got these divergences on the awesome oscillator developing very similar to the RSI.

Again, they may or may not be done. S&P is just slightly above the previous Friday peak. uh NASDAQ well above it.

But again, you you're going to need to see a reversal of conditions here and to complete these divergences is you're going to see a uh need to see a drop below the 10 period. That's the red line you see right here. The bars going from red to green to red to green back and forth as the divergence uh develops.

You still have a divergence very similar to what we have on the uh uh RSI weekly time frame price moving to new high. Osmo oscillator not the MACD not stochastic very overbought. So again you're forming these larger divergences as as I've talked about in the weekly time frame.

They're everywhere. Think for the NASDAQ weekly chart here. Again you're getting these lower towers.

The awesome oscillator turning back up slightly higher actually and uh going back and forth from red to green to red to green. But you are seeing the divergences on indicators like the stochastic and the histogram and these kinds of things. But resistance, major resistance.

We'll see if we overthrow it. Did get a 13 countdown sell signal today on the NASDAQ. That could produce a turn immediately or you might go just a little higher.

If we do, we could slightly overthrow the resistance trend lines. You'll see them in this video tomorrow. And then we've got the jobs report uh Friday.

The private payrolls tomorrow uh is expected expected to be at 84,000. Previously we were at 62,000. We'll get the jobs report Friday and then next week we'll have the CPI inflation data, but the jobs report is supposed to come in uh yep week again 55,000.

Continue to see rapid deterioration in the labor market. We continue to see weakness and some negative numbers as I've pointed out. All warning recession is about to start.

Employment rate supposed to hold steady at 4. 3% supposed to get a very weak number of 55,000 and again if this number comes in negative or weaker or on the feeble side again um can cause concerns. On Tuesday next week we'll get on May 12th we'll get the CPI data.

Wednesday, we'll get the PPI wholesale inflation data. So, the inflation data next week, the jobs report uh this week for the private payrolls, and uh the jobs report on Friday from the labor department. Still in earnings season.

We're still in earning season. AMD is up and after hours. So, we'll be watching to see how that impacts the market.

We do have the negative divergences developing now. Maybe they're wrapping up here on the 60-minute charts and the daily charts. Dow was up.

The Dow was up 365 point or 56 points, pardon me, up 73%. NASDAQ S&P was up 81% up 58 points. NASDAQ 100 and S&P made a new high.

S&P just slightly higher. NASDAQ pushed above it and again likely a five leg push higher. Uh NASDAQ was up 1%, Russell was up 1.

75%. The VIX was down 4. 9%.

4. 98% pardon me. Closed at 1738.

Hours AMD is up. Super Micro is up. See how that impacts things by the session tomorrow and by the close.

If we see escalation in the Middle East or uh oil uh spike up or both uh that could override any kind of good earnings news, any rally, but uh show you the 60-minute charts and let you look at them, see what you think. Video has still been struggling. It's down 1% today, but again, we've got uh AMD up in after hours.

will be watching to see what happens by tomorrow's close for Nvidia and the NASDAQ 100. Please support the channel with the link directly below. That allows me to be able to provide you this information.

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I thank you for your consideration for that bullish diversion. Stoastic getting a bullish cross. We got a bullish divergence on the VIX.

Uh the MACD is about to get a bullish cross. We have the histogram here at a reading of0. 01.

It's barely uh below the center line there. Something will likely happen and allow this divergence to play out. We have a divergence on the histogram.

We have a divergence on the MACD. And something is going to happen to recycle this back up likely in the next day or two or three as soon as tomorrow. As I as I keep saying, I believe that the US will resume combat operations very soon.

And good chance it's going to happen this week. They didn't do it yet because they're trying to get uh ships through the straight to reopen the straight and get some of these uh ships out of there. You can clearly see the divergences all over the place here on the VIX.

And I'm expecting something like this to happen where the VIX just begins to soar uh like it did over here. Here we've had a bullish falling wedge and we've got a throwback to fill the gap, a deform divergence. The VIX is not moving to a new low.

The S&P has moved to a new high. There's a discrepancy. That's a huge warning sign right back right there.

The 50 is remaining above the 200. That's a huge warning sign. And we're pulling back here to the 200.

Did that over here when the 50 got back above it. You bounced off the 200. Here we're just uh in this diversion surrounding the 200 period moving average.

So I do think this is going to play out and then the MACD will move back into positive territory. But I think you're going to come back and take out the highs over here and something's going to happen. Uh likely crude oil surging and the US resuming combat operations which again the experts and uh on social media is telling us that's not going to be the case.

There's going to be this negotiated settlement of peace isn't. Iran has now put forth a serious proposal that the United States would even begin to accept trying to stall from negotiations. The Trump administration is now figuring that out.

pursued diplomacy. They're hanging on even though there's been a a break of the ceasefire by Iran trying to spike crude oil back up trying to intimidate ship uh ship owners and and they closed the straight. Well, started bringing ships through as of Monday.

Now, they got two ships through on Monday. See if that continues before they go back to combat operations. But again, once they do, this is going to be over in about 2 or 3 weeks.

It's going to be done. We'll see what happens. But again, we're likely going to see the market get rattled and the divergence is all over the place on Bitcoin and on the in the stock market warning something setting up to happen.

Five leg push higher uh could be either completed or about to complete on those 60-minute shirts. Down today as we had the briefing from the secretary of war and the uh chairman of the joint chiefs of staff uh General Kaine. They made it clear the ceasefire is still on, which they're just wanting to get some ships through right now, but they're going to eventually resume uh combat operations.

Clear Iran is not serious about a deal. Has no intention of making the necessary concessions to what the United States is demanding. Get some ships through right now.

But I told you again, the conventional wisdom is, oh no, there's going to be this peace deal. There's not going to be a peace deal. They're going to go back to combat operations soon, but the United States is uh retaking control of the straight and getting getting well, they got two ships through yesterday.

We're getting crude oil pulling pulling back to the 10 period moving average and bouncing off of it after bouncing off the 50-day moving average and rallying up 38% again. Nothing goes straight up, nothing goes straight down. But again, I think you're eventually going to move to new highs above the 119 peak over here and the lower high that set up just underneath that here.

I think eventually will take out those levels. Why do I think that before the war ever started again? Crude oil commodity cycles last to peak and crude oil is often last one.

Last time around we saw gold peak after the recession started and then well into the recession we saw crude oil peak. Talked about an oil shock which will be the final blow to the economy. An oil shock is not yet priced in.

I expect crude oil to go much higher. The conventional wisdom was, oh, it's over be this peace deal and we pull back to the 50 period. I told you this divergence on the MACD and the RSI was going to give us some kind of corrective uh pullback.

MACD firmed up at the center line. The RSI uh turned right back above the 50 level and we've bounced now and we've rallied back up 38%. So, I do expect you're going to end up going higher.

You'll see yields go higher uh and again eventually the 10-year yield is going to move above 5%. Markets will freak out. Inflation data will go higher.

Complete opposite to what we've been told would happen. And your yield and dollar, oh, they're going to go down and oil rally. It's over.

Again, usually right before an oil shock here. I talked about and I wrote about on uh on X King of the Charts. I talked about the oil shock.

If you want to read about happened in the 1970s and what happened in 2008, uh you can go read that at King of the Charts on X. the tan back above a 20 and again you'll end up seeing crude oil move to a new high very soon likely when they resume uh the US resumes combat operations which is likely going to happen very soon. Same thing with the 10-year yield.

Again, it had a bullish flag wedge, evolved into a bare flag, a bull flag, and then we've broken out. Possible inside day here, but eventually, again, I think you're going to move to new highs. Crude oil will go higher.

Eventually, the 10-year yield will go higher. Inflation will go higher, and the 10-year yield will begin to price in higher the higher inflation. We're hesitating right at the upper boundary of the triangle in the weekly time frame.

Again, I think you'll end up pushing above this level and exceeding the peak back over here, uh, which will take, uh, the 10-year yield above 5%. This is the index for TNX. We're in this final fifth wave, and I think that will eventually freak markets out.

We have the We have the S&P moving slightly higher, NASDAQ a little bit higher uh, than a little bit higher than the S&P above the previous peak here. Again, I warned you may have a five leg push higher. That's not done yet.

We are pushing higher. And so far, we're getting this divergence right here in the 15-minute time frame. Again, versions is on the intraday charts may not quite be done yet.

I told you we may get backtoback topping signals. If if the uh peak from Friday doesn't hold with the topping till we move just slightly above it. Here's the five-minute chart and the divergence that formed there.

And again, this may not quite be done. But if it's a truncated fifth, meaning two equal peaks, then maybe it is done. But again, earnings and after hours here, uh we'll see how that impacts market tomorrow.

But you've got these divergences, multiple point divergences that are developing here, the RSI and the MACD on both NASDAQ and here on the S&P 68 minute chart. You've got it on the daily chart. the bigger divergences in the day, the weekly and the monthly time frame.

We're hovering near major resistance in those longerterm time frames. Order to turn, you got to break the trend line here. You got to break the cloud, break back below the 50 period moving average.

Uh if this is done or we go higher and then it completes right now, uh we could see these diversions is complete this week here possibly sooner rather than later. So I'll be watching for clues here on these 60inut charts. Same thing on the NASDAQ 160-minut chart.

It was up 1. 31% today up 360 uh 363 points. We have gap higher, another gap higher and again forming a divergence in the most recent price action.

A larger divergence with the previous peaks. Back over here we have a rising wedge. So again, in order for this to turn, you got to break below the 50, break below the cloud, break the trend line.

Is this done? But we've getting the potential five leg push higher here that could be completing. And I talked about earlier in the week that we could have a 1 2 3 four and then five going to new highs, which looks like that has now played out.

We could see a divergence develop here in the most recent price action. Compare that five leg push higher. We we're decisively above the previous peak.

S&P is just right at it. But I told you the same thing here on the SM uh S&P 500. It could be that we have if this is four, we could have 1 2 3 4 five and what could be a little ending diagonal uh with the fifth wave with a potential uh overlap right there.

So or another way to count it. Three, four, and then we're now in five. Quite isn't quite done again.

Elliot wave speculation, but I am looking for a five leg push higher that could complete before the week ends here with these divergences. Back to the NASDAQ again, you've got these divergences going on with the uh 60-minute chart here on the MACD. Got a divergence in the most recent price action.

You got a larger ones here going on. Pring parameters got one as we become overbought. So again, expect these five leg pushes higher are going to produce a reversal.

We're going to go back and fill these gaps and eventually uh take out here the uh March 30th low. Here is the S&P 60-minute chart up close. Again, you can see the divergences that are developing here.

Uh again, the question is, are they done? And again, I expect that the US is going to go back to combat operations in Iran. Expect Iran is going to retaliate.

I expect crude oil is going to go make a new high and rattle markets. There'll be continued support uh concern about the economy and inflation. So again, I'll be watching all of this here in the 60-minute time frame.

And here is the alternative count. again rather than three four uh whoops right there. four right there and then this being all wave five possibly three four and then five here truncated fifth or a little bit higher if the divergence is not yet done but uh again it's looking like it might be done on a NASDAQ so it's possible you have a truncated fifth here so are the two possibilities I think again oil's going down we have a ceasefire there's going to be this peace deal the market is priced in something that is likely not going to happen.

It's going to begin to price in what is going to happen which has not yet been priced in and that is the US resuming combat operations escalation. Oil likely going much higher. Uh the S&P still has its divergence.

We moved a fraction higher than the previous peak today. Just barely. Um as I'm showing you in this video on the 15minute chart, you could see it.

But we've got this diversion still going on on the RSI. Uh you've got divergences on other indicators. Question now is the five leg push higher done.

We still could go higher and again positive earnings and after hours still might take the S&P uh above this area. NASDAQ did get uh well above the previous high forming the multiple point divergences. Uh S&P still go higher and join NASDAQ and going a little bit above this previous peak.

I am looking for the five leg push higher to complete maybe uh that's wrapping up here or add just a little bit higher levels as I've said think you're going to come back and fill all these gaps and eventually take out this March low and I think it's going to happen real uh quick there's more concerns about inflation with crude oil going higher the 10-year yield going higher inflation data we'll get that next week continue to see the weakness in the economy in the labor market could be some real concerns patterns. NASDAQ moving uh to a new high today, higher than the S&P. S&P is testing that, getting really an equal peak, just slightly above it.

Uh with Friday's high, we're well above Friday's high here, but you still have the divergences that are developing and we're still very very overbought. the divergence on the stochastic and the RSI uh and the uh histogram. You've got uh you've got diversions is all over the place on NASDAQ S&P daily charts, 60-minute charts, weekly charts, and monthly charts.

Likely witnessing a liquidity sweep at a five leg push higher pushing above these two equal peaks right here. very common liquidity sweep. We're throwing S&Ps overthrowing the channel from the 2020 low with our linear scaling, but we're right at it with the log scaling.

As I pointed out, this is the weekly chart with their linear scaling. We're slamming right into the trend line here from the 2022 peak with their log scaling. And again, a lot of people never look at the log scaling.

A lot of people only look a lot of people never look at weekly and monthly charts. A lot of people only look at the linear scaling and many of them only in the daily time frame. Look at what's going on in the weekly and the monthly chart.

You're coming up and slamming up into this trend line in the uh uh weekly and the monthly time frame with our logs going up this rising wedge back from the 2020 low. If we could take it further back, massive rising wedge in the monthly time frame as I talked about stalling or coming up to this trend line right here. And I've got it kind of tight in there.

might be uh that I've cut into the topping tail there just a little bit. But again, we're right into this area of resistance. I expect we're going to turn off this area and I expect the rising wedge is going to play out and that you're headed down towards the April low or the 200 period, the 200E moving average.

You can see it right here in the monthly chart. We're forming these negative divergences, but this thing goes all the way back to the 2009 low right here, excluding the shadow right here. That's why I think we're headed back to that trend line and the 50-month moving average.

These negative divergences are looming over the monthly and the weekly charts uh here on the RSI, the rate of change, the price oscillator, it's all over the place, the stochastic, even the MACD has moved up to a new high, but it's forming a divergence right here in the most recent price action. Uh so again there are clear warning signs right in this area and now seeing the S&P move back to a positive correlation with Bitcoin as I pointed out previously and again if we see Bitcoin turn down off the resistance Bitcoin is rallying up just under the 200 period moving average. If it turns down off of it S&P is going to join it if they have a positive correlation.

Now they've had a decoupling. The S&P is likely going to play catchup to Bitcoin. Now with the linear skilling, here's uh NASDAQ 100 QQQ ETF again pushing right up into the parallel boundary here uh connecting these two lows right here.

This is from the 2021 peak down to the low in 2022 and the higher low there in 2023. Slamming up into that channel. The QQQ was our linear scaling.

Here's some log scaling. We're coming up slamming up into the channel up in here. just slightly above it.

It looks like here. This is going back to the 2018 and 2020 lows parallel to the 2021 peak. And I may not have it quite perfect there, but you can see we're just slamming up into that area.

So again, you're at some important levels of resistance on the NASDAQ and the S&P 500. You can see the divergences as NASDAQ comes up and again slams up into this area with the log scaling uh on our monthly chart and again the divergences that are developing here uh in the monthly time frame all over the place the money flow the rate of change the RSI it's everywhere the price oscillator uh so again it's uh the histogram it's everywhere as we come back up and slam up into key resistance levels the weekly time frame again the channel on the NASDAQ from the 2022 low. Now this is uh connecting 2022 or or the higher low in 2023 the 2025 low again we're at the upper end of this channel forming a divergence with our linear scaling.

I'm warning that again I warned that the uh the uh signal line on the stochastic had to catch up to the stochastic line now done that and we're now at extreme. So, you're likely going to see this roll over, see what kind of uh closing candle we get by the end of the week on these weekly charts for NASDAQ and S&P and do we break the winning streak, some type of reversal bar? See, as we hit that resistance on the S&P in the weekly time frame, you got these massive divergences developing rate of change, the RSI, the price oscillator, S&P 500 is likely forming a broadening formation, maybe a head and shoulders, but looks like a broadening formation.

I marked it here on the weekly chart. And with that broadening formation, we've got multiple points of divergence, not only in the most recent price action, but further back from these other peaks. And again, stochastic like on the NASDAQ is up at extremes.

the signal line has now caught up to the stochastic line. You're likely going to see that roll over. Uh but we're at some major resistance.

So, we'll see what happens here with these divergences in the weekly and the monthly time frame as we're at major resistance. See how earnings impacts everything tomorrow. Oil prices, how does that impact uh things for the balance of the week and on into next week?

Do we see escalation and do we eventually see uh the uh combat operations resume which I think it will and I think that will end up rattling markets. Remember the S&P is advancing on declining volume. You can see it here in the weekly time frame.

We have a six week winning streak right now. We'll see if that is broken before the uh week ends. The institutions allowed price to push higher so that the put options would expire worthless so they can collect the premium.

Doing so, we've advanced on declining volume. Institutions could sell into the rally, take new short positions, likely push it back down. The rally up accomplishes two things.

It gets the herd by the top and it stops out all the short positions. They hurt the bulls and bears simultaneously by doing all of this by causing the po the puts to expire worthless. They likely have a liquidity sweep.

Prices start to go in one direction but then go back up and they get the real move down which is likely what is taking place. Five weeks down followed by consecutive weeks followed by six consecutive weeks up. At least so far the week is not yet finished.