Technically the MKT is in a BEAR TREND but in a DIGESTIVE position. The probability is to the downside but there is opportunity on both sides of the MKT.
Key off the 8539 Inflection Pivot for an indication of the session tone with 8647 the high point for any upside squeeze.
On the SELL side BREAKOUT, FADE and REVERSAL strategies are valid with the expectation that the underlying negative momentum is going to reassert itself. Work any FADE or REVERSAL strategies within the digetive range, covering any position near the extremes. BREAKOUT strategies are valid however they may be choppy and more laborious. Work any position, covering on emotional sell-offs and re-entering on any sharp pullbacks. The probability is to the downside today but is not a day to press it.
On the BUY side avoid BREAKOUT strategies but rather FADE a negative reaction after a positive breakout signal. REVERSAL strategies are recommended over FADE strategies off major support inflection points as "sloppy" trading conditions are expected. Position management adjustments should be anticipated for all longs as the underlying negative tone can quickly reassurt itself and erase profits.
Note: The MKT has an underlying negative posture but there is the potential for a positive transitional move. Don't get stubborn if the MKT starts to get into trend mode in either direction as the contract may just be expanding its digestive parameters producing a one way trade into the close and new extreme.
JS
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