Bouncing in a B-wave

The market followed through higher today, following expectations for a larger b-wave bounce filling out off last week's low, and price currently finishing up what should be wave (a) of b. Based on that expectation, 5123 is now the next fib resistance above, otherwise a break below 5080 is needed as confirmation of a local top and the start to wave (b) of b. 

The alternative is that price is further along in the circle b-wave and attempting to complete it sooner and a more direct fashion. That potential would become more likely if this move stretches all the way up to the .500 retrace at 5145 or the .618 retrace at 5189. Any turn down sooner will be assumed corrective as wave (b) of b.

ESM24 - Micro - Apr-23 1209 PM (1 hour)
ESM24 - Micro - Apr-23 1209 PM (1 hour)
Garrett Patten is a senior analyst at ElliottWaveTrader covering both U.S. and international equity indices as well as stocks.