New All-time High Confirms Triangle Completion

Today's new all time high in the S&P500 verifies that "at least" a triangle upward has occurred properly in the cash index as well as the ES E-Mini S&P500 futures we have been showing you. Here is that triangle count on the futures, again.

ES E-Mini S&P500 Futures Potential Triangle

Today in the live chat room we added the EMA-34 to show how this triangle now has "proper form and balance" because every significant wave in the count is on an opposite side of the EMA-34. Notice that even the new ((E)) wave crossed downward over the EMA-34 to express this counting guideline, and how the ((E)) wave also crossed back down over minuet wave iii to show that it is corrective to it.

The futures have not made the new ATH high yet. They might tonight in the overnight hours. While we are waiting to see if that occurs, here is the same count in the SP500 Hourly Cash Index.

Hourly S&P500 Cash Index with Validated Triangle Shown

Regardless of the specifics, we have a wave that "has moved price sideways, taken up a lot of time, and occurred on low or declining volume". Besides the 3:3:3:3:3 structure of the zigzags in the triangle the previous verbiage describes the essential nature or personality of a triangle.

We note that while the DOW is making good progress in it's attempt to make the 90% level representing the possible minute ((b)) wave of a flat, it simply isn't there yet.  Here is the updated chart as of today.

DJIA - 2 HR - Good Progress on the 90% Level

Because the Dow has not made the 90% level yet, we may see more upward waves in this move. And if we do, that is fine.

Just keep in mind, the likely (now validated) triangle, and the deep nature of the Dow's wave iv both suggest a loss of momentum, and may be occurring just prior to the last wave-set upward. And keep in mind - since we are likely dealing with a pesky overall ((b)) wave higher - there would be nothing unusual if a truncation occur at or near the top since we are likely in a fifth wave already now.

Give it all some thought, and thanks for hanging in through some of the technical difficulties.

Have a good night!
TraderJoe