Get used to seeing the futures spasm wildly, because this is likely to continue for at least a few more weeks. My hunch is that over that time the futures will recoup at least two-thirds of their recent losses, but also test Monday’s lows. This implies trading opportunities galore, but only for the very nimble. The point was driven home yesterday, when I needed to zoom down to the two-minute chart to nail minor swing highs and lows. The Hidden Pivot Method works especially well when price action turns violent, but if you’re going to try to turn this to your advantage, you’ll need to think small, hunkering down on charts of five-minute degree or less. Shortly before 9:00 p.m. EDT, the pattern shown held promise. However, night owls looking for better odds should wait for a pullback from just above the 1912.25 peak shown. That could set up a relatively low-risk buying opportunity even though the night-session rally will have attracted more bullish interest than we should prefer.
