The Short Term Pattern

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Well, the Slope comments section is as quiet and undisturbed as Hillary Clinton’s match.com profile, so I’ll just do one last post today and call it quits. The interesting thing about Monday’s behavior is that it mimicked the same puzzling movement that took place on Friday. Allow me to illustrate:

0324-es

 

So first we have the zone that is tinted green, which is when it looks like the bulls are going to run away with the day. What happens is that the ES is steadily green all night long, and when the opening bell hits, a strong ES becomes very strong. I groan as all the markets seem poised to zoom higher.

But soon after – – in the case of the NQ on both days, within 100 seconds of the opening bell, things start to head south. This part I’ve marked in magenta. On Friday, it took a little time, but today, it was almost instantaneous. We all enjoy a spirited free-fall, and my red portfolio turns a beautiful shade of green.

And then – – because the bulls are not going to go down without a fight – – we get the counter-assault, tinted in cyan. Bleah!

As I am typing this, the ES is green and up two points. Are we going to get the same annoying nighttime and early morning session in which it looks like the bulls are going to seize to day, only to snatch defeat from the jaws of victory?

I sure hope so.