$ES-mini:
Will We Get Another Bounce
Before the Breakdown?

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We still have two main scenarios on the table. I still favor the bearish scenario arguing for a breakdown under the support at 3,571:

ES-mini 120 min chart

Let me zoom-in and highlight specific moves so you will see why I think that the whipsaw action this week looks totally identical to the pullback on September 16 – 20, 2022:

ES-mini 120 min chart

Note that the blue corrective a up, b down, c up structure was followed by a strong impulsive decline (red line). That red drop in mid September in subwave -a- down was followed by a small black shallow corrective zig-zag in subwave -b- up:

ES-mini, 120 min chart

And if ES-mini keeps following the same path we can get something like that:

ES-mini, 120 min chart

Now let’s have a look at lower probability bullish scenario:

ES-mini, 120 min chart

Because bulls have been holding ES-mini over the critical support 3,571 the bullish setup is still alive.

I keep referring you to a similar pattern played out by GDX in 2021:

GDX, Daily chart

Bears need to break under 3,571 to make that bullish setup much less probable.

In conclusion:

I consider the bearish path my preferred scenario, and

we may get a bounce up to 3,655 – 3,665 in subwave c of wave -b- up powered by release of PPI Index scheduled at 8-30 AM EST on Wednesday. And only then we may finally get a break under the support 3,571.

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$NQ: Approaching a Strong Support

$NQ #NQ #trading setup #Elliott Wave NQ is approaching a very strong confluence of two levels: Let’s dive deeper and check a 120 min chart: On the 120 min chart I highlighted important support levels

CastAwayTrader September 24, 2023

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