es 2-23 update ~
Updated
morning
i'll be totally honest,
es does not look healthy.
it's dangling off the 55 weekly ema,
nasdaq is below the 55 weekly ema
no real reaction, no absorption, nothing really.
----
here's the thing though, from the second of february es put in 5 waves down
so by the textbook, it is required to correct this 5 wave move
but since the market is lacking bullish momo, it might take the shape of a flat.
a wxy, wxyxz, or an abcde triangle.
i think that flat will be a wave B, and we see the final flush into wave C to complete the larger WXY corrective phase which had begun in january.
downside target for the completion of the larger corrective phase is a backtest of a 12 year algo target which sits at 3970,
estimated time to hit this level = 1 month.
i'll be totally honest,
es does not look healthy.
it's dangling off the 55 weekly ema,
nasdaq is below the 55 weekly ema
no real reaction, no absorption, nothing really.
----
here's the thing though, from the second of february es put in 5 waves down
so by the textbook, it is required to correct this 5 wave move
but since the market is lacking bullish momo, it might take the shape of a flat.
a wxy, wxyxz, or an abcde triangle.
i think that flat will be a wave B, and we see the final flush into wave C to complete the larger WXY corrective phase which had begun in january.
downside target for the completion of the larger corrective phase is a backtest of a 12 year algo target which sits at 3970,
estimated time to hit this level = 1 month.
Comment
triangle invalidated, might be playing out a larger bear move here weekly 55ema is key. if we can close a weekly above 4300, there is still a chance for a bullish reversal - close below, and watch this play out next week.
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