ES Morning Update March 23rd 2023

A wild ride yesterday, but overall it did what I expected. But it sure wasn’t a smooth move. The move up almost took out the 3/6 high of 4082.50 (ES), but it fell shy a little hitting 4073.75 (ES) before the plunge into the close.

They don’t make the intraday move easy, that’s for sure. They did a lot of “fake drops” from some spike high after the FOMC meeting, and then the drops would reverse back up and go a little higher again. I wasn’t day trading it fortunately. I have several positions on, which some are long and some are short, but all based on “time” and my “wave” count.

So I rode out the noise and didn’t panic, which worked out well for my shorts into the close. For today I’m looking for some smaller degree A wave up and B wave down into the close, which then allows a C wave up tomorrow that challenges the high from yesterday.

I do NOT think it will take it out, and I really would be shocked if it made it past 4030 ES (about 4000 SPX), but the goal for SkyNet today and tomorrow is to trick everyone into thinking that the pullback yesterday was a fake one and that we are going up much higher. They will want to close tomorrow up as high as possible to squeeze the shorts out and lure in the bulls. But it should not be any higher then yesterday.

I think the high yesterday was the end of my Extra Tiny Wave A up and that we are in Extra Tiny Wave B down, which should last into the middle of next week. How far down it goes I don’t know but 3900 ES would be reasonable and logical. The Extra Tiny Wave B should breakdown into 3 wave move, which I believe the move down into the close yesterday was the Super Extra Tiny Wave A (set A) and the expected move up into the close tomorrow will be the Super Extra Tiny Wave B (set B).

That leaves a likely 5 wave drop into around next Wednesday for the Super Extra Tiny Wave C, that will end Extra Tiny Wave B (ETB). From that low next week we should start a two week climb for Extra Tiny Wave C (ETC) that will challenge the 2/2/23 high of 4208.50 (ES), but it fall shy. After that, the market gets ugly. Have a blessed day.