$ES - Market Analysis for Jun 21st, 2018

After initially making a new local high last night, futures have since curled back down and are trading lower this morning. Therefore, it looks like a local top may have been struck as either blue wave i of (iii) or red wave b of the larger flat for wave (ii). Ideal support that should hold for blue wave ii if the former path is playing out sits at 2754 ES, with a move back above the overnight high at 2785 ES likely leading to a breakout as wave iii of (iii). Otherwise, below 2754 ES increases odds that wave (ii) is not complete as shown in red, and price can head down to test the .618 retrace at 2723 instead before turning back up in another attempt at wave (iii) of iii.

ES U18 - Micro - Jun-21 0552 AM (4 hour)
ES U18 - Micro - Jun-21 0552 AM (4 hour)
Garrett Patten is a senior analyst at ElliottWaveTrader covering both U.S. and international equity indices as well as stocks.