ES: Failure of Bears is the Best Gift for Bulls

$ES #macro #tradig setup #failure

In my weekend update I shared a bullish scenario and noted:

“If bears fail to break the first support 4,007 (the low made by the previous pullbacks) bulls can start pushing again. Note that the pullback we got last week stopped right at 200 MA on 120 min timeframe (the pink line). Here you can see how important that 4,000 support is. If bears stop right here, then bulls will be able to push ES higher up to 4,377-4,400.”

On Sunday night bears had a decent short setup to make a new lower low but failed as soon as they tested the first micro support 4,082. Then ES-mini managed to violate the immediate resistance 4,107 and by doing that they invalidated the bearish count.

When the market completes a Double Three corrective structure, bears get a chance to start a new leg down.

However, when bears fail to violate an important support, the completed Double Three structure may morph into a Triple Three structure by pushing higher in another a-b-c up structure:

Note that bears failed to break under support 4,007.

Now we can and should move the support up to 4,060.75.

If and when bulls manage to push ES over that declining red trendline the rally will most likely accelerate.

To invalidate that bullish setup bears need to violate that new support 4,060. Until bears manage to push ES under 4,060 bulls will remain in control and will be able to keep pushing ES higher towards the Red Target box.

The main catalyst that is capable of pushing the market over the resistance or under the support is Consumer Price Index that will be released tomorrow morning at 8-30 AM EST.

Subscribe to Free Updates

Get Unlimited Access

More To Explore

$ES: Are You Ready for a Bulls’ Trap?

$ES #ES #trading setup #bulls trap The macro bullish count argues for ES-mini to top somewhere around 4,660 after kissing that red trend line. Its safe to predict that they will play a fake breakout

CastAwayTrader November 30, 2023

$NQ: Bullish Setup for Another Push Higher

$NQ #NQ-mini #trading setup 15 min chart of NQ-mini futures looks very bullish: In the yellow box you can see a clean corrective -w-x-y- down structure that looks complete. The straightforward way to count is

CastAwayTrader November 30, 2023

Important Disclaimer

CastAway Trader LLC, the publisher of this web-site and videos is not registered as an investment adviser nor a broker/dealer with either the U. S. Securities & Exchange Commission or any state securities regulatory authority. Users of the website www.castawaytrader.com and viewers of the videos are advised that all information presented on the website is solely for informational purposes, is not intended to be used as a personalized investment recommendation, and is not attuned to any specific portfolio or to any user’s particular investment needs or objectives.

Trading stocks, options, or futures carries a high level of risk, and may not be suitable for all investors. Before deciding to trade, you should carefully consider your objectives, financial situation, needs and level of experience. CastAway Trader LLC provides general overview of trading methods that does not take into account your objectives, financial situation or needs. The content of this website must not be construed as personal advice. All trading setups and/or trades presented in the web site and/or trading chat room by CastAway Trader an/or by other members of the chat should be considered hypothetical for educational purposes only and should not be expected to be replicated in a live trading account.

An investor could potentially lose all or more than the initial investment. You should not speculate with capital that you cannot afford to lose. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Risk capital is money that can be lost without jeopardizing ones’ financial security or life style.

You should be aware of all the risks associated with trading. You should seek advice from an independent financial advisor.

Any information posted on this web site is not to be construed as an offer to sell or the solicitation of an offer to buy, nor is it to be construed as a recommendation to buy, hold or sell (short or otherwise) any security. All users of the website must determine for themselves what specific investments to make or not make and are urged to consult with their own independent financial advisors with respect to any investment decision. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. All opinions, analyses and information posted on the website are based on sources believed to be reliable and written in good faith, but should be independently verified, and no representation or warranty of any kind, express or implied, is made, including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. In addition, CastAwayTrader LLC and its officers and employees undertake no responsibility to notify such opinions, analyses or information or to keep such opinions, analyses or information current. Also be aware that the owners, officers and employees of the web site www.castawaytrader.com may have long or short positions in securities that may be discussed on the website, Premium Trading Chat room and/or in the videos posted by CastAway Trader LLC.

Past results are not indicative of future profits.