ES Morning Update February 27th 2025
I’m still looking for one more lower low that takes out the 5924 low (ES) on Tuesday. I don’t see it getting all the way down to the 1/13 low of 5810 as that’s too obvious. I think somewhere between 5850-5875 will be enough to take out any longs from this Tuesday and lure in some bears.
Then I expect to see a face ripper rally of 100-150 points, which will likely be “about” a 38.2% retrace from the top down to the bottom that is made. The high yesterday was 6020, and that would be a magnet target for the rally into early next week. This assumes we get the low by this Friday, which I think is possible.
The expected low was for Monday, March 3rd, but if we reach it today or tomorrow I’ll call that a successful hit as turn dates are always “windows” where it might happen a days or two early (or late). If we see the low hit today and the rally into tomorrow, where we reach that 6020 high by the close, I have to think we’ll still get another pullback on Monday, but I don’t think it will be any lower low but a higher low.
Basically, the move up to the 6020 zone would be an A wave and Monday would be a B wave, which might be half the move up? Hard to say for certain. But from there we could (should.. “if” this plays out?) see a C wave up into Tuesday or Wednesday for another hit of that 6020 zone, which I’d think will be taken out during that rally, but probably not by a lot. If we reach the 6060 zone it would be a wonderful short for another drop the rest of next week and into the following week. Now if we do not drop first (today or tomorrow) and rally up instead, then I’d expect to see the lower low move happen next Monday, which is the expected date anyway.
Have a blessed day.
Source: http://reddragonleo.com/2025/02/27/es-morning-update-february-27th-2025/
