A 1713.00 target flagged here yesterday came within a less than a dollar of nailing the intraday low. The impulsive rally that followed remains viable but only barely, since the rally retraced almost down to the point ‘A’ of the pattern. Bulls will retain the edge if the futures can pop above the 1737.30 ‘external’ peak recorded last Thursday, but if it fails we should brace for more slippage to the 1686.30 target of the corrective pattern shown. Regardless, its 1710.80 midpoint support looks like it will be a good place to try bottom-fishing. Camouflage is preferred, using an ‘X’ trigger that would subject you to theoretical risk of no more than 0.70 per contract. However, the pattern is sufficiently attractive that you can simply put up a 1710.80 bid, stop 1710.30, if you are not comfortable with the technique of ‘camo’ trading. _______ UPDATE (11:20 a.m. EST): A pop this morning to 1739.20 has made the futures bullishly im[pulsive on the hourly chart. Camouflageurs should look to leverage the ‘X’ entry point of the pattern A=1725.40 (9 a.m.); B=1739.20 (10:00 a.m.); and C=1729.10. A lower ‘C’ would invalidate the trade, but I’d suggest using the 1-minute chart to find a new one if necessary.
