$ES #ES-mini #trading setup #Elliott Wave
On the Daily chart you can se ES-mini futures moving down in the second leg of the corrective (a) down, (b) up, (c) down structure:
Once that (a)-(b)-(c) down move is completed we should get another strong rally in the wave (v) up to 5,700-5,800.
Let’s zoom-in to a 240 min chart:
As you can see, that move down off the last high made in May 2024 has been shaped as a clean a-b-c. We can count it as a subwave -a- down to be followed by a corrective bounce in a subwave -b- up.
Let’s look at a micro tick bar chart:
Overnight bears pushed ES down to tag the blue trend. They almost tagged the Green Box. At this point an immediate downside potential is limited. Bears can push ES down to the Green Box but they can start a pullback right from here. The minimum target for a corrective bounce in the wave -b- up will be the lower red supply zone.
We are going to get the main catalyst of the week released at 8-30 AM EST. That will be PCE index, the main inflationary gauge closely seen by FED. That data release should increase volatility.
Monday will be the first trading day of June. Its a standard repeating pattern when the first 2-3 days of a new trading month bring a strong countertrend move. In that particular case we can see that indices made lower lows on the last trading day of May. That dip should be followed by a bullish bounce during the first half of the next trading week.