The EMINI S&P ES setting up nicely with a very classic pattern in the first couple of weeks of January 2016. Why classic? Is this something seen before? Absolutely yes Market price charts are quite fractal like, so smaller time-frames charts exhibit the same patterns that larger time-frame charts do and these patterns become much more clearer when viewed under the chaos indicators lens.
Consider the ES EMINI chart on Monday night January 11 2016, in particular note the exact placement of various lines, in particular the wave-trend current high (yellow blob) in relation to the various intersections and positions of the other lines.
Next consider a smaller time-frame chart that exhibits a very similar pattern to the above chart - this is the 199 tick (roughly 3 minute) oil CL chart from a year and half ago - this type of pattern can be found in any time-frame chart really - again - think self-similarity - fractals - it is the same behaviors over and over again across time-frames and even chart types-
It is evident here in this oil chart that the price comes down to meet the gray curve with wave-trend blue dots firing off. And that intersection point roughly corresponds to the price level that the red curve intersects the white vertical line on the left side. In the ES EMINI chart the red curve intersecting the white vertical is roughly 1550. Notice how the oil CL went on to gain back everything it had lost after reaching that bottom there at the 91.60 The 91.60 on this CL oil chart corresponds to the 1550 on the ES daily chart above.
Are there any other possibilities with this current ES E-Mini set-up? There are some deep crash scenarios that show some similarity to it where it could crash well below 1500 However the set-up could lead to magnificent/stunning upswings as well down the road, again based on self-similarity with very small time-frames. Some CL oil smaller time-frame charts to consider below showing some possible variations how this set-up could run its course
Consider the ES EMINI chart on Monday night January 11 2016, in particular note the exact placement of various lines, in particular the wave-trend current high (yellow blob) in relation to the various intersections and positions of the other lines.
Next consider a smaller time-frame chart that exhibits a very similar pattern to the above chart - this is the 199 tick (roughly 3 minute) oil CL chart from a year and half ago - this type of pattern can be found in any time-frame chart really - again - think self-similarity - fractals - it is the same behaviors over and over again across time-frames and even chart types-
It is evident here in this oil chart that the price comes down to meet the gray curve with wave-trend blue dots firing off. And that intersection point roughly corresponds to the price level that the red curve intersects the white vertical line on the left side. In the ES EMINI chart the red curve intersecting the white vertical is roughly 1550. Notice how the oil CL went on to gain back everything it had lost after reaching that bottom there at the 91.60 The 91.60 on this CL oil chart corresponds to the 1550 on the ES daily chart above.
Are there any other possibilities with this current ES E-Mini set-up? There are some deep crash scenarios that show some similarity to it where it could crash well below 1500 However the set-up could lead to magnificent/stunning upswings as well down the road, again based on self-similarity with very small time-frames. Some CL oil smaller time-frame charts to consider below showing some possible variations how this set-up could run its course
Hey ES captain, I hope for the best but it may be time again for another crash. I trade the ZB and blog as well at http://www.stocksforexfutures.com/.
ReplyDeleteI wrote about the coming crash and how to trade it.
Bad for markets, great for traders
Hey ES captain, I hope for the best but it may be time again for another crash. I trade the ZB and blog as well at http://www.stocksforexfutures.com/.
ReplyDeleteI wrote about the coming crash and how to trade it.
Bad for markets, great for traders