Monday’s trade continued to see a push higher with the ES reaching the resistance zone at 4515 to 4535 and closed towards the upper end of the zone. Off of the 4462 low from last Thursday I can count 5 waves up as complete, but I don’t feel the rally is done just yet. It appears that the sub sub minute wave 3 is also subdividing and thus far would have completed waves 1 – 3, with a small 4th wave correction unfolding as globex starts. This then suggests that the sub sub wave 3 has an additional rally to complete as wave 5. This wave would be expected to reach into the next zone in the area of 4548 to 4558 before turning lower and putting in an additional small 4th wave correction. Leaving the ES with one last 5th wave advance. Additional Fibonacci resistance comes in at 4570 to 4581 and then 4602 to 4628.
August 30, 2021