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YM F Dow E-mini Future Elliottwave View: Correction in progress
Short term YM_F (Dow E-Mini Future) Elliott Wave view suggests the rally from 6/29 low is unfolding as a double three Elliott wave structure and ended with Minor wave W at 21628. Index is currently in Minor wave X pullback to correct cycle from 6/29 low in 3, 7, or 11 swing. Structure of Minor wave X is also unfolding as a double three Elliott wave structure where Minute wave ((w)) ended at 21416 and Minute wave ((x)) ended at 21624. Minute wave ((y)) of X is in progress towards 21359 – 21409 area before Index resumes the rally or bounce in 3 waves at least. We don’t like selling the Index and expect support to appear at 21359 – 21409 area (if reached) for 3 waves bounce at least.
YM_F 1 Hour Elliott Wave Chart
7 swings structure is one of the most common patterns in the theory of New Elliott Wave & it is also mainly know as double three Elliott Wave pattern. Market find that very often nowadays in many instruments in almost all time frames. It is a very reliable structure by which we can make a good analysis and what is more important is giving us good business inputs with clearly defined levels invalidation and destination areas.
The image below shows what Elliott wave pattern Double Three looks like. It has (W), (X), (Y) and 3,3,3 internal structure, which means that all these 3 legs are corrective sequences. Each (W), (X) and (Y) are made of three waves, which are having the structure W, X, Y in lesser degree as well. Elliott Wave principle is a form of technical analysis that traders use to analyze the cycles of financial markets and market trends forecast by identifying extremes in investor psychology, high and low prices, and other collective factors. Important to Note that 3 waves could also be labeled ABC (5-3-5) structure as well. How are labeled 3 waves it depends on the internal price structure subdivisions waves i.e. whether the price action is corrective or motive.