Is The Rally Over?

While today's selling is a cause for concern I do not believe the rally is over. The main reason is that we have 5 waves up from the 7/1 low. The SP500 did not exceed its 6/21 high, so it is unlikely that the 5 wave up move is wave c of an ending diagonal triangle in an upward flat correction. Thus, we should expect another new rally high. As long as the current downmove holds above 1088 or so, all of the sideways movement since 7/27 could be considered as part of a small degree x wave in the still unfolding double zigzag upward correction. This would lead to a higher target for the rally. Either way, whether there is one or two more upward pushes to complete the rally, it is premature to call the rally over at this point. Even so, I would prefer to see the SP500 hold above 1100 until it can move higher.