ESU14 – Sep E-Mini S&P (Last:1987.25)

With Friday’s modest selloff, bears racked up their second consecutive day of gains. When’s the last time that happened?  I can’t recall, but it seems like it’s been quite a while. Bears shouldn’t get their hopes too high, however, since even if the Dow is on its way back to 10,000, there are enough Nervous Nellies for short-covering to persist the whole way down. More immediately, from a Hidden Pivot perspective the weakness would start to look interesting if  two or more of the labeled lows to the left are exceeded today. The bearish implications would be especially compelling if there are no visually significant, upward corrections to punctuate the fall. Alternatively, if there’s incipient buying power still lurking, it will become manifest in downtrending abcd patterns that reverse from ‘p’ in the manner shown, rather than reaching their D targets.