$ES and $NQ: Both Ready To Spike

  • CastAwayTrader
  • August 8, 2024
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$ES $NQ #Elliott Wave #trading setup

Yesterday I shared a bullish i up, ii down setup in ES-mini:

ES-mini 60 min chart

That bullish setup produced a nice 150 point rally today.

This is how that chart looks like now:

ES-60 min chart

The rally stopped at the micro resistance 5,358.

Please note that there are double top patterns but there are no triple top patterns. This rally came back to the previously made double top. Now ES-mini looks ready to jump over that resistance.

Break over 5,358 should be followed by extension of the rally at least up to 5,411, a 100% ext. Moreover, the rally may extend up to 5,500, a 138.2% ext.

Now let’s look at NQ-mini:

NQ-mini 60 min chart

We can count the move up as either a bearish -a-b-c- pullback that should top in the Red Box, or, in a much more bullish way, as an unfolding five wave up rally that should break over the Red Box. On Thursday NQ stopped at “the risk level”, the 76.4% ext. Break over that level 18,545 should trigger acceleration of the rally towards the Red Box.

The upper edge of the Red Box is a strong resistance of the 138.2% ext = 19,185 that coincides with a strong 76.4% retracement of the last move down.

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