We are seeing more of the same today it seems. Prices start off in one direction, then correct and mostly go sideways. Just do not allow it to lull you to sleep, because eventually, prices will start off like this and then do something much different, so be prepared for changes at any time. Until then, expect more mixed trading and for prices to remain mixed most likely.
There is a lower gap on the chart, and prices may attempt to fill that gap. That target is down at 5645.75, so keep an eye on that price target if prices continue trending lower. For now, the trend is down to mildly mixed.
Mack, today at about 10:05am CT, the ES shot up about 80 points and hit 5741.00, then bounced off. Why that target? Well back on March 27th, you posted over here about a gap with a target of 5741.25 to fill it. This can’t be a coincidence. Why did it pick now to fill that gap? (actually missed by 1 tick)
Usually, a gap will fill in on the same day, but when it doesn’t, use the rule of 3 for gaps. 3 min, 3 hours, 3 days, 3 weeks, 3 months, etc. Do the math and see if it fits the rule of three in some way.
Turns out it was exactly 6 weeks later – which equals 3 fortnights! This is why i try to keep target points on the chart as long as possible, even though i prefer a clean chart.