The market did indeed drop down and form a H&S neckline on the SPX today. It actually broke a bit and "saved".
Solving for blue Y. Its like high school algebra.
The move down from 931 to 886 low today looks more like a zigzag 'three' rather than a nice 5 wave structure. If Blue Y would take the form of a triangle, this 886 low would make a perfect [a] wave of that triangle. So what we await is how high any [b] wave retrace occurs. Look at your resistance zones. Look at 38% then 50% retrace from 886 to 931.
I suspect the DOW will backtest the "golden cross" 50/200 DMA area soon. The DOW 200 DMA is at 8427. The 50 DMA is at 8451.
So in review, I think the market is "solving for blue Y" of red Intermediate (X). The first move down for Y looks like a zigzag more than a 5 wave move. That points to an [a] wave of a possible triangle. Hey, that's what it looks like what can I say?
"IF P2 is NOT over (high price is not in), AND if P2 is so far a double ZZ from 666 to 956, THEN expect a triple ZZ to P2 peak, ALSO expect the third ZZ to start from a price higher than where the second ZZ started (835 or 847)."
That logic statement suggests the H&S pattern will not play out and hit its target since its target is in the 820's. I made these guidelines up myself I admit, but from an EW standpoint I think its sound thinking as far as the triple ZZ goes. It would take exactly a triangle to play out from here in order for the market to avoid breaking the neckline.