|ES E-Mini S&P500 Futures (4 hr ) - Potential Downward Diagonal|
There has been lots of whippy action, but so far, resistance at 2360-65 has been containing prices on the upside. The daily futures have lower lows, but no higher highs, yet, and prices closed below the 18-day SMA (line in the sand) and so therefore have a negative bias. Clearly, this downside wave has not been following The Eight Fold Path Methodology for Counting an Impulse, as there are already 160 candles on this chart. And therefore, the downside move is likely not an impulse downward, hence the potential diagonal designation.
Again, there can be no discussion of upward alternates until the "key price marker" at 2375 is exceeded higher. That does not mean there aren't upward alternates. That just means there is no evidence for them unless or until that occurs.
Have a great start to your weekend.