With a strong thrust yesterday that exceeded a minor ‘external’ peak at 1682.40 recorded January 3 on the way down, the futures created on the hourly chart what camouflageurs will recognize as an excellent opportunity to get long. Leveraging the pattern shown would have triggered you into the trade at 1679.30. You should check out the 3-minute chart to see how easy and free of stress this trade could have been, even for beginners. (The relevant pattern, with two single-bar coordinates, is A= 1677.10 at 7:57 a.m. EST, B=1681.00 at 8:09; and C=1679.30 at 8:18.) Since the 1682.80 midpoint resistance has already been exceeded by $1.90, a follow-through leg to the 1689.80 target is a decent bet. Notice that if the futures get there, it will refresh the bullish energy of the chart, possibly creating a new ‘camo’ entry opportunity for a breakaway ride above $1700. The futures are currently relapsing as they nearly always do when the regular session begins, but even if the pattern yielding the 1689.80 target gets blown, the overall picture still looks encouraging. _______ UPDATE (10:54 p.m EST): A day of gratuitous ups and downs had no bearing on my immediate outlook. Camouflageurs will be on their own, however, in seizing whatever opportunity may arise today, if any.
