Before we get another leg down I would expect a corrective a-b-c up structure of a micro wave iv up.
I think the ultimate target for this decline in wave v down is around 4,600.
I think this morning ES may re-test the overnight lows (4,668) in subwave b down of wave iv up. ES can make even a lower low to 4,660.
Then we can get a micro rally in subwave c of wave iv up.
The resistance for that rally in subwave c of wave iv up is 4,713-4,735.
Bulls need to push ES over 4,740 to flip back into Gamma Positive regime!
Until that happens every move down will get exaggerated because option dealers will have to sell futures to hedge against losses generated by put options they have written.
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