Standard and Poor’s 500 December 2009 Mini-Contract (ES_Z9): 60-Minute Extreme Bullish Harmonic Impulse Wave

This example of the S&P 500 December 2009 mini-contract on the 60-minute chart shows an ideal situation of an Extreme Harmonic Impulse Wave that possesses a perfect structure (see Figure 2.8).

Figure 2.8.

The prior Bearish 1.13 extension established the structure, as a sharp reversal following the failed breakout resulted in an extended decline. In this case, the ES mini-contract sold off to the short-term 1.618 extension of that failed 1.13 breakout attempt and reversed exactly at this level.