The ES Futures have formed a nice bearish rising wedge pattern over the last couple of weeks. Oftentimes, in the last gasp of a move up, a break above the top of such a wedge at its end is a signal of final exhaustion, and that is just what we saw yesterday. It was also at that moment that it came very close to reaching the 78.6% fib retracement from the February highs to the March lows (SPY hit that fib level on the nose, to the penny).
I am looking for this to capitulate as I believe the bear market rally has probably concluded.
I am looking for this to capitulate as I believe the bear market rally has probably concluded.