ES daily 02/28: going higher next, may have another pullback

1 Mar 2022

More Ukraine news during the weekend spooked the market and ES future opened sharply lower for a 130 pts pullback a few minutes after open. I was expecting marketing making lower high then more pullback in today's RTH session. However market once again proved how strong it is, it went to retest Friday high, attempted a false breakout, pulled back about 75 points and close around high again. Ideally, we would have more pullback ahead of us tonight/tomorrow, If that happens, first support would be today's RTH low of 4300~4310, then 4250~4260 (Sunday low). I doubt we would see a sustained break of 4240. But more importantly, I would assume we finish the wave (2) pullback very soon and going toward 4700 next. It's still hard to tell whether this rally would form a larger (B) wave around 4700~4750 or we go directly higher for new ATH, but with Ukraine issue still going around, it's still wise to long with hedge puts, there would be unexpected pullback here and there. But the general direction would be up, and all dips should be bought, until the trend shifts again.