Tchnically the market is in a BEAR TREND but in a DIGESTIVE posture. The MKT has produced a big negative signal but has yet to confirm a shift into trend mode. Look for excuses to get short below the 4.191 Inflection Pivot.
On the SELL side accept FADE, BREAKOUT and REVERSAL strategies off major inflection points. SELL BREAKOUT strategies below the 3.947 support pivot may need to be "worked" as the big negative signal will have the sellers excited. FADE strategies against 4.191 after a negative breakdown signal are good opportunities as well and can provide favorable area to put on leverage against structure. Be more aggressive with FADE and REVERSAL strategies at or against the previous session high point targeting the opposing digestive support. Above the previous session high point entering after the 2nd or 3rd press into an area is recommended over stepping in front of the initial challenge.
On the BUY side BREAKOUT strategies above 4.191 are aggressive and should be entered sooner [lower] than later [higher]. Expectations should be for the MKT to make its move early in the session and not look back, holding structure most of the day producing a positive "reversal" signal. If the MKT digests prior to making a positive move it is more likely a short squeeze to FADE. BUY FADE strategies off the 3.947 support pivot are aggressive and if they are going to work should do so on the initial test of support. Repeated tests or "confirmation" are more likely to give way to a lower trade. BUY REVERSAL strategies are not recommended as any failure is confirmation of a negative trend shift. The probability is to the downside today so don't get stubborn buying breaks.
Note: The MKT has produced a big negative signal and is flirting with a turn for the worse. If it does not follow through on any new weakness it is more likely a nuetral shift than a positive one.
JS
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