ES Morning Update March 8th 2023

We got the drop I was looking for, which will likely continue into Thursday, possibly early Friday to end extra tiny wave 4 (ET4) . But I don’t think it goes much lower as it’s into the support range between 3950-4000 that I was looking for, so I think it’s just going to chop around down here and allow the short term charts to get fully oversold before going back up.

Basically it should build a base the next few days that will fool the bears into to shorting  looking for another move lower, which shouldn’t happen. There should be another move back up into Friday or Monday for Extra Tiny Wave 4 (ET4), which could be right back into the 4050-4100 zone.

I think it tops there, but it could dance around for several days next week before dropping again for Extra Tiny Wave 5 (ET5).  That’s the wave that I think reaches 3700-3800 and ends Tiny Wave 1 (T1).  It’s OPEX next week so while I’m looking for ET5 to go lower they might not start it until the following week into the FOMC on the 22nd.

I said that because I know that many OPEX weeks are choppy so I don’t want to ignore that common pattern. It would be a series of 1′s down and 2′s up, or A’s and B’s… which either way sets up a nasty drop into week 4 of this month.

As for the short term, I don’t see much today… just a choppy base building period with some up’s and down’s that don’t go anywhere. Have a blessed day.