Monday, June 21, 2010

Pre-Market Warm-Up 21 June 2010

The ES is up 15! handles currently trading at 1127.

There are still many possible EW counts and at this point I can't prefer one of these:

All have their pros and cons, two are bearish and two are bullish, so everything is even steven here.

We do have the possible H&S supporting the bearish counts but I still like the 2007 comparison supporting the bullish case.

I also like to compare it to February. In February, the initial rally from the lows lasted 10 days followed by a four day correction and then a two month rally. Today is the tenth day from the lows, thus we could see some type of correction the whole week between 1100 and 1130 and then start a summer rally which should last until the end of August.

I have more charts for you later but first I'm gonna watch a football match ; )