sngyuchao

ES Short: Can the recent up-move be an expanded correction?

Short
CME_MINI:ES1!   Contrats à terme E-mini S&P 500
I was totally baffled by the move on Friday. If you followed my ideas, you will know that I was positioned for a move up in equities. But Friday's move down had cost me quite a bit and my long was stopped out. I continued to probe the market and was whipped by short-term moves. However, I finally settled on a short position.

Let me explain what could happen: I could be wrong again.

But here is how things might explain itself on having a short position: the recent move (circled) could be an expanded correction, signaling that the down move is actually quite strong and thus the corrective B wave moves down beyond the low. Note that C wave failed to breach the high of wave A and that could be the clue of weakness that the market is giving us.

But how could I be wrong, at least technically? I am someone who respects candlewicks a lot. And what happened during the last hour of the cash close has caused a medium candlewick on the chart. Is it strong? I don't believe so (which is why I am publishing this short idea now). Can it reverse? Well, I am not always correct.

Clause de non-responsabilité

Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.