Monday’s trade did continue in the same mode as Friday’s expiration with both the NQ and the ES running up and tapping expected resistance levels associated with Minor 2nd waves. I have updated the labeling for the first time in a week or so, which by the way felt good! I have market today’s highs as the completion point for the ongoing Minor 2nd waves. The rejection of the highs was evident as both the ES and NQ dropped breaking below their respective 21 EMAs.
For tomorrow, premarket Chairman Powell will be speaking and could provide the catalyst for the Minor 3rd waves now in progress to kick in and drop as expected. I added our first look at Fibonacci extensions for Minor 3’s.
The next major data release comes on Thursday premarket when the CPI data and the latest Jobless Claims data are both released.