by Avi Gilburt, ElliottWaveTrader.net
Monday December 23rd 2013
As I said over the weekend, the pattern for this wave v of (3) did not yet seem complete as of Friday, so we needed to expect further gains into early this week. Based upon the current structure, we do have enough waves in place to consider wave v of (3) complete.
However, with the latest extensions themselves having given birth to further extensions, nothing tells me that we cannot still see a wave 5 of v of (3) take us even just a bit higher. So, as long as the market maintains support over the 1812/13ES region, we may simply be creating a wave 4 triangle in here, setting up another thrust higher to complete wave 5 of v of (3), thereafter kicking off our wave (4) pullback.
The chart as it currently stands has the target for the wave (4) pullback highlighted based upon the top being in at today’s highs. If we do go up a bit more, the target for wave (4) will move up just a bit. However, the ideal target will still likely be the 1801-03ES region, which is the region of a wave 2 in an extended 5th wave. It is from this region we can see a 33 point rally to complete this 5 wave structure off of 1753ES.
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