#ES-mini $ES #Elliott Wave
The corrective (w)-(x)-(y) down structure made enough micro waves to be considered completed. On Friday ES dipped into the Green Demand Zone. We got two pairs of a-b-c’s interconnected by the failed rally labelled (x) up.
That looks like a completed corrective structure but doubts remain whether we can count that shallow and brief pullback as all of the wave (iv) down:
Let’s zoom out to a daily chart:
This pullback may very well be just a subwave (a) of wave (iv) down, the first leg down in a larger corrective structure of the wave (iv) down.
Alternatively, that double three (w)-(x)-(y) down structure may morph into a triple three down structure.
Let me explain you what that means:
If that pre-market rally stops at or under 5,240 that could become yet another failed attempt to start a rally to be labelled as (xx) up. In that case that failed attempt to start a new leg up in a wave (v) up would be followed by another a-b-c down structure, the third a-b-c component of the Triple Three structure.
Again, the key resistance is 5,240.
In order to prove that the flat and shallow (w)-(x)-(y) down is a completed corrective structure bulls need to make a higher high over 5,257.50.
