Today's price action may constitute a reversal as show here in the CASH, but not as dramatic as in the emini S&P (see below).
There remain several possible counts due to the fact that there have been no discernible retracements from which to accurately draw any high probability conclusions. While the chart above depicts a w.a termination, I can easily argue that the advance isn't complete. Therefore , it's best to step aside and wait for the market to show us some more pieces of the puzzle.
At the daily chart level of the emini's, today's session formed a bearish shooting star right at structural resistance. The candle implies a reversal as sellers entered the market. I'd like to see follow through and a closing of the gap to bolster the bearish case for a w. b decline.
My reasoning for the above statement is due to the fact that allot of weak shorts have their stops just above the 1214.5 and 1229.75 swing highs and as we all know ... the locals and bots love to hunt stops and inflict pain on the most market participants. Some shorts were flushed today as priced reached an intraday high of 1216. Th fact that I can't offer a high probability count at this juncture has be thinking that the potential for a reversal may be a head fake to the downside that will ultimately reach a point where w.c = w.a at 1233. Only thereafter will the market lower.
Watch the ON session for clues.
Best of Trading
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