DaBoyz goosed the futures well off their lows yesterday, but not before sellers had done significant technical damage to the hourly chart (see inset). By the time the futures hit bottom at 1917.75, the downtrend had breached an important ‘internal’ low and an ‘external’ one, creating a robustly bearish impulse leg in the process. Now, a ‘mechanical’ short from 1946.00 is indicated, at least in theory. However, because the implied stop-loss at 1968.00 would risk at least $1100 per contract initially, I’d suggest executing the trade in ‘camouflage’ fashion on a chart of lesser degree. The downside target would be 1880.50, a midpoint Hidden Pivot flagged here earlier. Night owls may be able to build a profit cushion for getting short by first getting long for the implied 17-point ride up to 1946.00.
