Chart of the day

SPX has bounced off the support 4230 and is going for an extension higher in the fifth wave. Support for this move higher bulls will find at 4350.

This is still viewed as the long-term five-wave upside as the 4230 support survived and to invalidate the extension higher and to completely reverse lower we need to see a break below 4230.

Long trades are favored to be opened here with a stop loss just below 4230 and you can trade with options as well. We favor the long trade entries at this stage as we see an ongoing price action to continue higher after the strong support hold. Short trade entries could come only upon a confirmed break below 4230.