Wednesday’s trade did provide the directional question I left with last night’s updates. However, the ES and NQ both remain in the “make-or-break” points – area’s where follow through to the upside will be essential as to which view is going to be #1 and #2. Currently, I have left them the same and I have added the labeling for view #2. The ES and NQ did move to an additional low early in the Globex session. The ES dipped to 3883 and the NQ 11921. I have also updated the labeling for view #1, to show the completion of Intermediate wave 3 down at the Globex lows.
Tomorrow, we get the Jobless Claims data and Powell is speaking shortly after the release. I continue to feel that direction continues to be dependent on what and how the markets interpret what he has to say. A continued rally would begin to swing the probability towards the ES and NQ putting in the balance of view #2. A negative reaction and a turn lower would again suggest the Primary C wave decline is picking up again. Either move needs to head in its prospective direction without hesitation or pause. We should be able to see and realize the momentum and purpose behind the move.
I include Fibonacci extensions for the possible up move and also update the retracements and additional extensions for a continuation of view #1.