The 1948.75 rally target I disseminated before Tuesday’s opening was easily exceeded, implying more upside over the near term to p2=1978.00. Night owls may have an opportunity to get long via a ‘mechanical’ bid at 1948.75 (stop 1939.25), but you should do so only if you are familiar with the rules governing this strategy. Alternatively, you could considerably reduce the theoretical entry risk by using the ‘camouflage’ technique to get aboard. A third possibility, also a ‘mechanical’ trade, would be to buy a pullback to the 1956.00 midpoint pivot of this minor rally pattern on the 30-minute chart: A=1923.75 at 2:30 a.m. on 9/8. _______ UPDATE (1:05 a.m. EDT): Shorts were getting mauled early Wednesday morning as the futures streaked toward the 1978.00 target flagged above. There were no ‘mechanical’ buying opportunities on the chart shown, although a camo entry would have been easily possible at 1957.25 at around 8:00 p.m. (A=1938.50 at 2:00 p.m.). If the futures blow past 1978.00, we’ll likely be looking at 2007.00 before the last, boldest, bravest short covers.
