Having endured the nonsensical rally from yesterday, I was pleased to see us sink again today, because the broken trendlines are absolutely picture perfect in form. It’s because of these trendline failures that I was comfortable pushing into more short positions during the strength.
You can see how beautifully the ES mashed against what is now resistance and was repelled all day long.
Looking at the larger intraday picture, you can see this is the third annoying time that the government has tried to “save” the market, only to be repelled each time. The jawboning, after a decade, is losing its punch.
The bottom line is that pipes’ top-rated comment from yesterday is what I believe. I know he meant it sardonically, but from my point of view, this is the absolute truth.