Just a quick market update, futures are trading lower this morning.
In order to start signaling a local top in place, price needs to break below Friday’s low (2179.50 $SPX) followed by 2172 $SPX.
If we see that, then we can start assuming that a corrective pullback as wave 2 of 3 has begun, which should take price back to at least the .50 to .618 before completing.
Otherwise, until then it is still possible to see a few subdivisions higher, with 2196 SPX continuing to act as the next resistance above.
Intraday $ES_F Trades: This morning $ES_F 60m is Bull, VV pre market AD = 1.37 9mildly bull). Technically ES has met the minimum count for a W.5 of 5
$ES_F Daily Trend : Bull with the fast line in the OB zone. A multi-day W.5:5 high should be near, if not complete yesterday (August 15, 2016).
$ES_F Weekly Trend : Bear: A multi-week high should be at or near completion.
Comments: As stated yesterday we are waiting for an S&P daily DTosc BearRev before considering shorts.
$ES_F 60 Minutes Chart
$ZN_F 240 Minute Chart
Today’s Economic Calendar
8:30 Consumer Price Index
8:30 Housing Starts
8:55 Redbook Chain Store Sales
9:15 Industrial Production
10:00 E-Commerce Retail Sales
12:30 PM Fed’s Lockhart speech
See you in the chat room
Thanks
-IKE
