Evidence of a corrective bounce

The market provided plenty of whipsaw today, but EW helped us navigate the volatility pretty well. Once price dropped below the pre-market low at 4456, it signaled that the bounce into yesterday's high was only 3 waves, and therefore likely corrective. 

Then the next question assuming a corrective b-wave bounce was if it completed already or did it want to fill out as a wider flat. Support for wave B of b in the wider flat was cited between 4445.50 - 4437.75, which was undercut slightly before turning strongly back up into the close. Therefore, we knew to expect the wider flat scenario for wave b, in which price has filled out what looks like the first 3 waves for C of b, currently working on wave (4). 

Under that assumption, 4461.50 - 4458 is ideal support to hold as wave (4) of c if price is going to turn back up for another high in wave (5) of c to complete the wider flat b-wave. If so, ~4485 is looking like the likely target for price to reach before the next local top is attempted.

ES Z21 - Intraday - Sep-16 1259 PM (10 min)
ES Z21 - Intraday - Sep-16 1259 PM (10 min)
Garrett Patten is a senior analyst at ElliottWaveTrader covering both U.S. and international equity indices as well as stocks.