S&P 500 Eyes 8,540 Wave Target at 7,554 Despite Death Cross Risk

The S&P 500 trades near 7,554 after rebounding from a 4.6% pullback that took it from a 7,620.90 peak to the 7,265 area. Breadth weakened sharply with 205 stocks below their 200-day moving averages, while SpaceX’s record $75 billion IPO drained liquidity and pressured the index toward key supports at 7,122 and 7,000. Elliott Wave analysis now identifies the March low as the end of wave (2), projecting a minimum wave-3 advance to 8,540. Short-term caution persists after a possible four-hour death cross appeared, with a failure at resistance opening a path to 7,330.