ES

As expected, we spent the majority of the day consolidating yesterday's gain. It appears that we had a triangle for 4 trace out (there are other possibilities). Total range on the day was 19.75 points. Volume came in a smidge better than yesterday, but still above its 20 day moving average.

We completed something up there today. I show us finishing off 3 (white). If correct, we should be in the process of working on 4. I have change some labels and degree's on my chart. The fib relationships were just getting goofy and still are in my opinion (among other things). I'm certainly not 100% satisfied of where we are in this structure, or how it has traced out.

What type of 4 should we be expecting here (or when it comes)? 2 (white) was complex, so based on the guideline of alternation, we should expect a sharp zigzag. This is just a guideline and not a certainty. You will notice that 2 was sharp and 4 was complex.


Here is a nice look at the channels. Also, notice the HUGE negative divergence on RSI. I think everything known to mankind was divergent up there.

The 23.6% comes in at 923. This fits well with 4 of lesser degree. Don't forget we have intraday gaps at 910.50 and 914. Maybe they actually have a decent retrace (yeah right). I think they used up all the retrace on 2...98.7%!


Nothing surprising here. I did, however, forget to reset this at pit open. I think it's about 5-6k higher than what actually occurred.











This is how a H/S is suppose to work folks. Don't know if it reaches its target or not, but the 161.8% sits in a convenient place for that to happen.

Much has been said about how the H/S pattern on the daily wouldn't work because everybody was keyed into it. My personal opinion is that is BS. Pattern's, regardless of what they are, happen everyday in the market. They happened 50 years ago and will happen 50 years from now. Some work - some don't.

What about the triangle today? Why did that work? Was it hidden from everybody except us in the eChat? I don't think so, yet it worked. Trendlines, moving averages, ect. ect. work everyday and everyone is aware of them. The daily H/S DID work. It just didn't reach a level that generally they reach.

The only certainties in the market are that everything is uncertain and that GS controls it for their benefit!