Tuesday’s trade saw the rally continue in the ES with the market starting the session by reaching a high at 4623 before dropping to session lows at 4582 within the first hour. From the low the ES rallied right into the close. The closing high was reached at 4631 and may have completed wave 3 of “C”, which is a part of a larger Intermediate wave 2 corrective bounce. Likely for the balance of the week, the buy side will dominate, internal correction notwithstanding. For tomorrow I will continue to look for follow through upside reaching next resistance at 4638. The “C” wave in progress still needs a permanent placeholder for wave 3 of “C” and then a 4th wave small correction followed by wave 5 of “C” moving higher. The resistance zone that I’m looking for begins at 4684, 4717, and then 4748. If all goes well it will reach that zone on Friday and complete wave 5 of “C” and the larger Intermediate wave 2.
March 29, 2022