S&P continues higher and fear seems to feed this rally. It seems that the more people fear of a destructive pull back, the more prices continue to move higher. Along the way we have seen small pull backs or sideways consolidations. Buyers strength seems unmatched to bearish feelings and that is why the fifth wave is extended. Below is our updated chart.
As you can see above, prices continue to trade within the upward sloping channel and no critical support has been broken. Even if the declines have managed to push below an important low, the form of their decline was not and they were labeled as corrections. The form the decline takes is very important for the future trend. Past declines usually were consisted of 3 waves (corrective waves), whereas upward moves take shapes. I think we might see a wave 4 type pull back that could move as low as 1620-1610, and from then we can expect another final upward thrust. For now, wave (3) of 5 is still alive and we have no signal that it has ended yet.
As always, thank you for taking the time to catch up on my thinking.