Today's lower low made for almost an uncountable series of waves, until it became apparent that perhaps the "c" wave of a flat wave was being made at the end of the session. Here are the ES E-Mini Futures along with the predominately diverging Elliott Wave Oscillator.
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| ES E-Mini S&P500 Index Futures - 2 HR - Contracting Diagonal and Flat |
There are five waves down as another contracting leading diagonal, and a retrace to the area of the prior wave (iv), as well as a high above the prior a wave, preventing a truncation. Towards the end of the session, topping tails were made and a possible second wave up. So, the c wave could be over - or it could extend. Also, these three waves could just be the first three waves of a flat (i.e. a flat of a 'larger' flat). So, the market wants to be cagey, but it can't go on forever.
Have a good start to the weekend,
TraderJoe
Thanks Joe as usual.
ReplyDeleteI add an interesting historical analysis by Chris Ciovacco
https://www.ccmmarketmodel.com/short-takes/2019/5/10/trade-war-how-concerning-for-stock-market-investors
Sal - your post has been deleted, as that is exactly what I am trying to discourage: poorly thought out, multiple scenarios that do not make sense from a degree labeling perspective.
ReplyDeleteHi Joe, thank you for great charts and commentary. What are your thoughts on gold?
ReplyDeleteWelcome. From the mid-Feb high GOLD futures can be counted as five waves down in a contracting diagonal to the May 2, low. The recent up wave has already broken the upper diagonal trend line. It must be allowed to make a fuller upward correction if it wishes, and then go on to break the low of the diagonal.
DeleteThank you! It confirms my thoughts.
DeleteHi Joe,
ReplyDeleteJust wanted to write in to thank you again...I really look forward to your posts and very much appreciate the way you explain your thinking...I keep learning from you, so I keep coming back! :)