And now, here I am at the Tejon Pass Supercharger, making my way back up to my beloved Palo Alto. My young daughter is going to have trouble sneaking up on people due to the medals dangling from her neck; she had a great tournament, and she’s certainly an inspiration to me because of her amazing mental toughness. Would that I had such spirit in my trading!
My trading spirit, though, it chagrined to see that, once again, the ES is marching higher, since it seems bad news (more dreadful economic data from China this weekend) is seen as good news (since it means central bank propping-up of equities until the end of all time). The crash of August 24th is a distant, fuzzy memory.
The pattern to watch is the triangle shown above on the intraday ES. If we push above the red line, it’ll embolden the bulls (as if nearly seven years of artificially-supported markets weren’t emboldening enough). It puts the good guys at risk of the ES zooming to 2020 or even, God forbid, 2075 (before failing once more).
The triangle failure, of course, would be a delight for the bears. I have no freakin’ clue how this will go, but I certainly am sure that by Thursday afternoon, it’ll be crystal clear.
OK, back to driving. See you Monday morning.