TRACING IT FORWARD..

Ok so I have been trying to figure out these patterns along with the indicator that has been developing along with it.

So I have a theory of whats to come, so lets see how accurate we can get with our analysis.

What do we know?
We know that the patterns down from the Sept 14 high looks corrective as EWrs dictate and as we can see there are an abundant of 3 wave patterns.  Therefore, we can say that "IF" this is corrective then the way to label this are indicated on the chart below..

So now whats next?..
Looking at our Stoch. momentum, the 5min chart of the SPX is the one that has bottomed with divergence to price.  So my Theory is that this would push the 15min stoch. up and allows the 60min to complete its overbought move.  Therefore pushing down prices again to make 3 waves for a 2nd wave of 5th wave.  This would end the day negative and end the week negative and most importantly end the month with a reversal bar.

Forward looking these patterns would be ideal for what we are looking for to allow us to finish the month with bearishness and allow the next month to move higher and turn down confirming the bearish trend down.

On a daily and monthly basis this is what we would look for to form out...

Monthly chart below:

To close this post out, if this Theory doesnt pan out then at least we can say we can refine our analysis some more and give us practice as to how we can better forecast future price and patterns.