Bank of America technical analyst: S&P 500 index may face three waves of adjustment, falling to 6850 points

The head of technical analysis and research at Bank of America stated that investors need to hedge against the rise of the S&P 500 index and be prepared for the possible "three wave adjustment" in the coming months. Paul Ciana from Bank of America wrote in Thursday's research report that the S&P 500 index has risen nearly 17% since its March low, but the rally has shown signs of fatigue since hitting its recent high on June 2, and the index may fall to 6850 points, down about 7.6% from its current level.