ES

The equity markets continued higher today on above average volume. Range was 17.50 handles.

As expected, we did finish off a higher leg today, though it may not have been the one I first assumed.

I'm showing two different scenario's tonight in separate charts. The first chart is one possibility of what structure may be forming.

This is based on minor A completing at the 1038.75 H. This means that a minute [a] leg finished at the 991 L. We are currently tracing [b], and when complete we will have [c] down to finish minor B. C up would follow.

If this interpretation is correct, then it appears that we have completed both minuette (a) and (b) and are in the process of working on (c).

It appears that sub-minuette i of v has finished. ii looks to be in process.

This second chart assumes that the 991 L completed minute [ii] of minor C.

If this view is correct, we will trace 5 minuette degree waves up to finish [iii]. There will be a retracement for [iv], at which point [v] up will complete minor C.

Looking at structure from this perspective, it appears that we have completed (i) of (v) at the 1036.25 H today. (ii) is in process.

Both cases should bring higher price. If we get a decent retrace here, I will have to assume that it is a (ii) wave and the first scenario is not in play (at least how I have it labeled).

There are other alternatives as well. If we can get price above the 1038.75 H, which I believe we will, this will eliminate the scenario that minor C has already completed. That will allow us to scratch that off the list, thus narrowing down the remaining possibilities.

If your one of the fortunate few who realize that equity prices have no business at these levels, understand how this great ponzi scheme will end up, and are beside yourself with angst and frustration over it all - just chill out for a bit.

Let the "greater fool" theory run its course. Stand aside and wait your turn because its coming. When it's here, we wont be scratching our heads trying to figure out if we have topped - you will damn well know it.