July 4, 2022

S&P 500 / Elliott Wave Update 7/04/2022 by Michael Filighera

The Globex session on Sunday didn’t produce any major moves and held to a fairly tight range finishing up at 3820.  Monday’s Globex session initially opened unchanged and then found some buyers in need with the ES quickly jumping the 3840 to 3857 level.  Thus far the market has reached 3857.  There are no changes to make from what was presented yesterday.  The daily and hourly pictures remain in trading ranges that continue to leave open the daily and hourly directional moves.  There are no changes to make to the current labeling which leaves open the 50/50 probability of either side producing some profitable trades.

For tomorrow, the market still needs to make clear whether the Minor wave 2 is complete and if so — where?  The upside picture suggests that the 3950 high completed minute wave A of Minor 2 — with the low at 3741 completing or nearly so, minute wave B of Minor 2.  Again, if this is the case the ES would carry potential to rally back above 3860, 3900, 3938, 3967, with an ultimate target above 3992 to 4000 to finish minute wave C and also Minor wave 2.

If, though the ES rallies back up to the resistance zone being formed 3850 to 3865 area and is held to the zone – the ES may be completing a smaller minute wave 2 of Minor wave 3.  Should this be the case the ES would be expected to pick up the pace to the downside breaking back below 3832, 3819, 3806 to 3800, 3785, 3740 and below.