Well, one thing is for sure: the ES sure is respectful of its Fibonacci levels! It has become practically comic (and awfully cool) how the price action is banging between these retracements like a racquetball in a court. The entirety of Sunday and Monday consisted of a plunge to one level, a bounce all the way back up, then a partial drop, and yet another bounce to the same level.
You can see this playing out over a longer time horizon. What the bulls want, of course, is a breakout from the level that was “double-banged” today. It could happen, but if it does, watch the next level up for resistance.
Incidentally, I thought the whole “55-day” thing was awfully silly, so I was neither disappointed nor surprise that it didn’t amount to a thing. I will say, however, that the 2018/2021 analog that ZH has been mentioning is actually pretty interesting, so I whipped out the ol’ Layered Charts and created this:
Speaking of Layered Charts, we’re rolling out a few more improvements today, which I’ll be doing a post about later. You Gold and Platinum folks should really give it a try.
