Sometimes simple is better. This is a daily chart of the SPX with a line connecting the daily closes. None of that crazy intraday noise. Since July we have had 3 XYZ tops. I am sure there is an official name to this pattern, I originally wrote the piece as an ABC top, but those letters mean something to some people. I will call it an XYZ top.
Today we started the download movement of the Z leg so we will know as early as tomorrow if we are in a Z pullback or if the pattern will be invalidated. Just some food for thought.
