Daily Archives: November 21, 2012

Not Staying Here Long (by Springheel Jack)

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There was an encouraging break downwards yesterday afternoon on SPX and ES, but it didn't last, and it wasn't the right shoulder on the possible IHS forming on both charts. Will we form that right shoulder? I like the setup but the stats for today and Friday are strongly bullish, and strongly bearish for Monday. For this right shoulder to form would require almost exactly the opposite of that. We'll see. Here's the setup on ES, with negative 60min RSI divergence having reached such heroic proportions that I would no longer regard this as viable reversal signal: