spx ewave

From an ewave perspective:

If we've been accumulating a bunch of 1-2's recently, this could be a sign that the pending 3 will unwind in an unusually large way.

Unvalidated idea: Nested 1-2's work like compressing prices in a diagonal. When the last wave 2 is complete, there is a lot of energy available for the next price movement.

If we are in a 3 of 3 of 3 -- that is, a very powerful wave -- this nesting may have the purpose of providing the energy necessary for the pending move.

Timing: Like a diagonal, the nesting can't go on forever; each nest has less (price) space to work within. If the count on this chart is correct, then the nesting is already far along: (2) [soon], ii, (ii), 2

If SPX finds resistance at 1275 on Wednesday, it could be a sign that we have completed wave (2) and are resolving to wave (3) of iii of (iii) of 3.

http://stockcharts.com/c-sc/sc?s=$SPX&p=60&b=3&g=0&i=p24463289758&a=149609100&r=1963.png