Morning Update: Wave 3 of wave “a” looks complete

I’m supposed to be off the desk...but it’s just easier to update this way, then answer the barrage of DM’s.

Looking below at a zoomed in micro count. Wave 3 has so far come right into the 1.382% Fibonacci support area of 3884.25.
www.tradingview.com/...6BTNXPk-ES-12-16-22/

We’ve poked slightly below that and that’s fine. Ideally, we would anticipate an ABC of minor degree to get up the 1.0 area a 3940.25. Then ultimately down to the 3830 – 3826 level for completion. That’s the ideal path and so far, price is following an ideal path. I have warned against the temptation to buy and some of you have DM’d me about being long in the 3920 area. We’re still vulnerable to extensions lower and if that happens, the ideal fib locations get moved down...so you have to make a risk management call.

If price heads to 3867 before it tags 3905 then we’re extending lower. Long is a risky trade from my perspective. If I had to go long, I would wait for the 3830 area and that’s without extensions.

Best to all,

Chris

Comment:

Looks like we're extending lower...