So far, it’s just a triple bottom, and nobody knows whether it breaks or it holds. But if you look closely, if it holds here, it’s 3 higher lows on the ES. So unless they take out 3309, nothing has happened yet. It’s just a downtrend within an uptrend within a downtrend within a flat trend. In other words another garden variety bubble consolidation where the dealers are shaking the trees to pick up the low hanging fruit to replenish their depleted long inventory.
Call me jaded in my old age, but this looks bullish. Fractionally higher low. 5 day cycle projection of 3315 done. Dover sole indicators in position for upturns.
That said, if the rally fails, and they subsequently take out these lows, it’s going to be beautiful.
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Meanwhile, get cycle projections from 2 weeks to 2 years, along with key support and resistance trends and levels, and long and short stock trading ideas at Lee Adler’s Technical Trader. Here’s the latest report.
The June selloff was 265 points high to low. So far, the current selloff has hit 278. Bigger? Nope, not in percentage terms. This one is -7.7%. That one was -8.2%. So, we can still say that this time isn’t different.
Yet. But there’s smoke. Plenty of it.
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