Thursday’s trade did exceed expectations with the decline, but did not break any rules which leaves current analysis in place. What I have done though is to update the Elliott labelling to reflect what the market intentions may be. For now expectations remain for a final subminute wave 5 advance to carry prices to new highs above 4354. Off of today’s low the ES appears to be in the process of putting in a initial 5 waves up to begin the final advance. If though, the market drops below 4295 before moving above 4322 it would likely negate the upside for tomorrow — the “no” breakpoint sits below at 4248. A break below that level would negate the upside move and give stronger support to the multi sequences of the advance are complete. Again for now expectations will be for the advance to pick up and move above 4322 before putting in a small corrective wave 2 pullback. If the ES breaks to new highs resistance remains at 4355 to 4365 with the top of the zone being 4378. Ultimately though advancing sequences could reach above 4400 to complete.
July 9, 2021