by Avi Gilburt, ElliottWaveTrader.net
Tuesday February 18th 2014
Last week, I noted that if the market were able to hit the blue box, and then pulls back to the .764 retrace in a corrective fashion, then you can attempt a long trade, with a stop at 1827ES. At this point in time, I would probably move your stops up to just under 1830ES, or just under 1834ES if you want a tighter stop.
For now, the market has not broken any upper support. That would be the 1825/27ES region. As long as that region is not broken, the market can still head higher, and, yes, still even be a b-wave. But, I have to reiterate once again, if one wants to play any upside here, I still strongly suggest doing so with specific stocks that are in a better and more clear set up than the several potentials we have on the 60 minute ES chart at this time. But, if did chose to go long here, then you should absolutely use the suggested stops.
But, as long as we hit upside targets, and pullback correctively from those targets, we are forced to continually look up. A break down below 1825/27ES is the first signal that the market may be breaking down, but will need to take out the 1803ES level in impulsive fashion to be more certain.
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