It has been a dull summer week, and of SPX, NDX and RUT, only RUT has managed a lower low this week. RUT has now made it, albeit rather lethargically, almost back to channel resistance, now in the 1416 area, and I’ve noted that this may be the right shoulder of an H&S pattern forming. RUT 60min chart:
SPX has been almost welded to the key 50 hour MA for much of the week. If we are to see it only a small move would be needed to retest the all time high, but Stan’s read is that a break over 2480 would likely deliver a target in the 2504/5 area. SPX 60min chart:
The ES, NQ and TF futures charts below were done an hour before the RTH open for Daily Video Service subscribers at theartofchart.net. If you are interested in trying our services a 30 day free trial is available here.
Stan doesn’t like this as an EW triangle but this is certainly a decent quality classical triangle and that broke up overnight. Key resistance is at 2477 and a break above opens the all time high retest and possible run to 2502. 2477 has seen two highs made there today so it is holding so far. A break below triangle support, now in the 2467 area, opens the downside. ES Sep 60min chart:
The triangle on NQ looks ok, and has not seriously threatened a test of triangle resistance today. Looking at the triangle structure this triangle leans bearish in my view, though the tape might need the help of a defibrillator to break out of the triangle. NQ Sep 60min chart:
The setup on TF is similar to RUT, other than the two channels are starting to diverge, with the retest of channel support on TF yesterday not quite mirrored on RUT. Both now have hourly RSI 14 buy signals fixed. TF Sep 60min chart:
It’s been hard staying awake after 11am EST today, here’s hoping the tape is more interesting next week. Everyone have a great weekend.