Thursday, April 19, 2018

S&P 500 Emini: Softer Price Action Not Yet A Threat

I have two reasons to expect the Emini to find support near here (- 9.75 at 2700) and it is not just because we like round numbers.  There is a downward sloping t-line I draw that dates to the 17th new high and record high of late January and intersects trade right here (2699).  Additionally, there is an upward sloping trend line that defines the support line of price action since Apr 4.  That trend line intersects trade here also (2697).  I liked the bullish break out of Monday/Tuesday and today looks like a pull-back to a broken t-line for counter trend correction. 

So, still somewhat constructive, but would be respectful on lower settle from here.