Today was the last day of the month. We suspected there might be some typical end-of-the-month 'window dressing' and we suggested there could be a lower low today. There was - between 12:30 - 12:45 ET. Then prices turned higher and did not look back. They 'almost' made a new all-time-high but held the Crop Top just as before. It is plausible the pros were 'front-running' the new inflows that would likely come in for the first-of-the-new month when the institutions get back on Tuesday.
Here is the ES 4-hr chart with the best tentative count at this time.
After the expanding triangle, it 'is' possible we had a first wave up and a w-x-y second wave down. Then, there is a quasi-bullish-engulfing candle for what might be a smaller-degree first wave within a third wave of v.
The MACD went flat on this timeframe and might take a turn upward, then a divergence or two. Also, a tentative parallel has been sketched in. A third wave of new money would likely break this parallel higher, so it is worth watching.
Have an excellent start to the evening and enjoy the long weekend if you are celebrating the holiday.
TraderJoe
Looks like a bump and run distribution triangle. Should see a top maybe Thursday next week. Just a guess. BTW Sept 3rd is a 1929 top anniversary date.
ReplyDeleteTj..I am too tired of this long run from November 2023. The way I understood from this August deep correction and retrace bcz of usd/jpy, this market has bottoms but no ceilings. Take money from Japan and invest everywhere. Japan is running a deficit for so many years and it will keep in going and all others countries will follow it. It's simple. 3500-4600-4100-5600-5100 then 5700 and then 7100.
ReplyDeleteWell, I can't help what you are 'tired' of. That is up to you. All I can do is encourage you to read the next post - which is already up. TJ.
DeleteA new post is started for the next day.
ReplyDeleteTJ