What began as a promising selloff Monday night turned into a tedious slog for bears that has continued well into Tuesday night. Sellers pounded on the 2065.00 ‘Hidden Pivot’ support shown for most of the session, but ultimately they were unable to break it. Eventually they took the path of least resistance, allowing the futures to ratchet higher into the close on weak volume. There was no palpable feeling of strength — just flaccid buying that would seem to hold little promise for higher prices on Wednesday. Whatever happens most immediately, the most likely scenario would be for an unimpressive high to be made in the dead of night, followed by an engineered drop ahead of the bell, then a weak short-squeeze to begin the regular session. This pattern has repeated itself so often lately that traders willing to keep odd hours should be able to profit from it with their software on autopilot. All of the foregoing aside, my short-term bias is bearish for now, even if bulls have to be dragged kicking and screaming every inch of the way lower.
