In an interview I did yesterday with Al Korelin, I identified 1350.50 as a minimum downside target for the near term. It is the ‘p’ midpoint support of the pattern shown, and if it is decisively breached we could be looking at 1216.20. Regardless, I would suggest aggressive bottom-fishing either via camouflage or with a very tight stop if the higher number is reached. (FYI: I expect a very precise hit.) Since we never want to chisel a forecast in stone, leave room for a bullish outcome, predicated on an uncorrected upthrust exceeding 1495.00. That would create a robustly bullish impulse leg on the hourly chart with follow-through potential to as high as 1520.50 over the near term. _______ UPDATE (10:55 a.m. EDT): Despite today’s moderate strength, I’m still calling for a correction down to 1350.50, basis June Comex. However, today’s rally is encouraging, and if the futures were to hit 1495.10, it would generate the most bullish signal we’ve seen in quite a while, implying minimum, further upside to 1520 shortly thereafter. Today, the best buying opportunity remaining would come on a ‘b-c’ pullback (basis (June Comex) from anywhere between 1477.50 and 1484.80. The intraday high so far is 1473.40 — not quite sufficient to generate a bullish ‘impulse leg’ on the hourly chart.
