4th wave consolidation

The market did exactly what it was supposed to today, which was chop around in a 4th wave consolidation. Price has come close to reaching our optimal 2350 ES target for wave 4 of c, but otherwise nothing indicating that it has completed and the 5th wave down has started yet.

In fact, I would actually prefer to see this consolidation eat up even more time and stretch out overnight and into tomorrow, but a break below our afternoon low at 2336.50 ES would be the first indication that the next leg down as wave 5 of c has begun, heading to the 2325 ES target.

Otherwise, a sustained break above 2355.75 ES would be needed in order to suggest anything more immediately bullish at this time, and until then one more low will be expected before a more lasting bottom.

ES M7 - Micro - Mar-22 1345 PM (30 min)
ES M7 - Micro - Mar-22 1345 PM (30 min)
Garrett Patten covers both U.S. and international equity indices as well as stocks for ElliottWaveTrader.