ES daily prices went up to the upper daily Bollinger band - and then some - before backing off to below the band a bit later in the session.
In the process, the daily slow stochastic lost its embedded reading. This may only be a 'crack' in the hull and not sufficient to sink the ship. While the ES and YM futures have new all-time highs, the NQ futures do not. It would be nice to see the main futures in gear. We'll see if that situation rights itself on Monday and/or Tuesday of next week.
We'll have more to say about the wave count this weekend, but until price loses the 18-day SMA the daily bias is up. It would also be great at some point to see an actual reversal candle pattern on the daily chart, so we'll be on the watch for that. Even though the current action is bullish, the location of the upper band - and the lower low, higher high pattern - makes 'me' very cautious, anyway.
Have an excellent start to evening and the weekend.
TraderJoe
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ReplyDeleteSee figs 4-8, and 4-9 in the online version of The Elliott Wave Principle. Quote, "In a zigzag, the length of wave C is usually equal to that of wave A, as shown in Figure 4-8, although it is not uncommonly 1.618 or .618 times the length of wave A. This same relationship applies to a second zigzag relative to the first in a double zigzag pattern, as shown in Figure 4-9." So, up to 1.618 x W is acceptable for Y. TJ.
DeleteGot it, thanks!
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ReplyDeleteMy take on it is this way. I could be wrong about it, but it depends on if the most recent A down is a :5 or a :3. It "looks like" a :5 on this scale. But it is darn difficult to tell.
Deletehttps://www.tradingview.com/x/qMwXJrqT/
Your last (A) looks like a clear :3 - which is not legal without a 90% retrace.
TJ.
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ReplyDeleteTJ