S&P500 – Deep dive in sight

The S&P500 index if showing signs of a strong drop in early 2023, possibly testing the 3000 region.

1. The top trendline is holding any attempts of a higher high. Until it is broken, we´re in bearish correction mode.

2. The Fib extensions from black and gray XYZs give us targets between 3150 and 2800 (yellow rectangle).

3. Short term, we´ll probably see a recovery to at least test the green resistance zone.