E-mini S&P500 is consolidating in a red wave 4) which can go sideways, or slightly deeper based on our wave count below. We are looking at a triangle in wave B which can be near completion, so ideally break through 2148 will cause a drop to 2130/2140 area where support can be found this week.
S&P500, 1H
A Triangle is a common 5 wave pattern labeled A-B-C-D-E that moves counter-trend and is corrective in nature. Triangles move within two channel lines drawn from waves A to C, and from waves B to D. A Triangle is either contracting or expanding depending on whether the channel lines are converging or expanding. Triangles are overlapping five wave affairs that subdivide into 3-3-3-3-3.
Basic Triangle Pattern:
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