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ES is playing by the script!
Last night I predicted a rally in wave v up. But wave v up never travels in a straight line. It is always subdivided into a up, b down and c up. Subwave a up normally targets the previous top made by preceding rally in wave iii up. This is exactly where Russell and ES hit resistance today. Now thousands of traders will get bearish after recognizing triple top. The would conclude that bulls are weak and can not break out. That bearish sentiment will power a pullback down in wave b down. We can not predict how deep wave b will be. What we know for sure is that it should hold over its critical support 2,877. The most likely target for wave b down is 2,886 – 2,882 (61.8% and 76.4% retracement levels accordingly). And only after that corrective wave b we should get the final rally in wave c of v making a breakout through that resistance at the top of wave iii up. That final rally would complete the bigger rally and set a stage for a deep pullback down.