SPX and COMPQ: Market Does a Thing

Since last update, SPX did overlap the first key upside level noted on August 7:

COMPQ has also continued its bounce:

In conclusion, there's good reason that I stopped providing targets after SPX captured its fourth target (the downside 5100-25), and that's because, as I mentioned, I didn't have any.  The 3/c inflection zone was big enough that I felt it unwise to try to see around that corner without enough data to do so accurately -- and I don't regret that decision.  As it sits now, if bears are going to make a stand, they probably need to do so fairly directly.  Were the markets to sustain trade below their 3/c lows now, that could suggest a big bear nest.  That said, as I've warned since we captured that final target, it's entirely possible that was it for the downside.  We'll see what the next few sessions bring.  Trade safe.