S&P 500 ~ Elliott Wave Count 18 November 2010

The SPX gapped up back into the channel. It didn't stay long in the channel though. By 10.30 am the upper channel line was breached and the market rallied to 1200 which also was the high for the day.

In my opinion wave [a] of 4 (of a flat/triangle) bottomed at 1173 and a [b] wave is now underway. Waves i, ii and iii of (a) likely finished yesterday and wave iv may have a little more to go today, possibly retesting the upper channel line. After this a rally to ~1207 should occur and complete wave (a) of [b]: