OK, I'm starting to get truly stunned by the inability of the bulls to prop up this market.
At this point, we've had two perfectly good bullish setups, each of which failed. The first, tinted in blue, should have taken the /ES easily to 1133. It moved up only a little, then it flopped (the left red arrow). Then another bullish pattern formed, and it failed at exactly the point where it should have burst higher (the right red arrow).
The gee-the-economy-must-really-suck jobs report stripped over 20 points off the /ES in the blink of an eye, and it has even crossed beneath the short-term trendline (circled). So I guess I don't have to hold my stomach and bear with the rise I was anticipating today.
I'll close by saying that, once the jobs report was out, I got out of my SPY long position. I took a loss on it, and one might ask if I regret buying it. Not in the least! It's insurance, nothing more. If I buy fire insurance, and my house doesn't burn down, I'm OK with that. Because the position is there just in case. So let's make the best of the day before us, shall we?
