The last month has all given us a weird new perspective; a day like today, which had over an 800 point range on the Dow, actually seemed kind of tame and boring.
Looking at the two big e-mini markets gives an interesting bit of perspective. Below is the ES0812 (the December S&P); this morning, it looked like we were going to break to new lows (see the green tint). This was a complete fake-out,since it was actually the absolute best time of the day to go long the market. I'm sure a lot of people had some damage done to their accounts; I sure did (of my four accounts, I only trade futures in one, so the other three were unscathed).
An even larger fake-out was committed by the NASDAQ (NQ), as you can see with the larger green tint below. Unlike the S&P, it was not pushing beneath Friday's lows. Notice on both of these graphs the purple area I've shaded; this, to me, is a topping pattern from which prices might fall away tomorrow. I say "might" because, let's face it, this pattern is only about three days big; it's not like one of our multi-year charts. All the same, I am watching this zone for resistance.
Believe it or not, I've looked at very few charts today, so I need to get to that; I'll probably do another post later on tonight.
