ES Daily Candle: Higher High, Higher Low, Lower Close: Yin-Yang Day
Market Posture: Neutral-to-negative and Probing
Daily Swing Line: Higher (Higher High, Higher Low)
Daily Bias: Up (Settle Above 18-day SMA)
In terms of measurements, we have shown this chart of a projection of minute ((c)) = minute ((a)) for several days. The Dow cash, S&P500 cash, and QQQ currently share these same Fibonacci length measurements.
|ES Futures - 5 Hr - Minute ((c)) = Minute ((a))|
Note that today's slight higher high occurred with a confirmed divergence on the MACD. This indicator has crossed below it's signal line to confirm the divergence. Still, the ES daily slow stochastic is still fully embedded.
IF today's top holds, and we still prefer to see price movement below 3,110 in the form of a downward overlap, then it is possible the Intermediate ((B)) wave is completed in the following fashion.
|S&P500 Cash Index - 2 Day - Intermediate (B)|
In the above example, then note that the triangle is the Minor X wave. Please also note that the minute ((e)) wave of the triangle does not end exactly on the ((a))-to-((c)) trend line - just as Neely indicates it should not. Also, note that the move out of the triangle does appear like a single "thrust" out of a triangle. If today's top holds, that remains our primary count.
In the event that there is a further higher wave, then this alternate, below, would best apply.
|S&P500 Cash Index - 2 Day - Intermediate (B) ALTERNATE|
The alternate is offered as today's price movement down was small. That could change. In the case of the this second chart, the triangle is a minor B wave with the same characteristics. Why such uncertainty regarding an alternate? Well, that is the nature of corrective waves in wave theory. There is nothing I can do about such a level of uncertainty. If the market did not have some uncertainty, it would cease to be a market.
Have a good start to the evening,