Bulls should find it worrisome that the autumn high of 139.55 failed to surpass an external peak at 143.14 recorded back in July. That would have made a significant difference in the way we look at the chart now. As it stands, there is only one low in this picture that could be used as a point ‘A’ to project a major rally ahead. However, strictly speaking, it is unusable for this purpose because the would-be impulse leg that followed it did not surpass the required two prior peaks. This is a technical distinction that only those who have take the Hidden Pivot course will fully understand. However, the bottom line is that it casts a shadow on the otherwise encouraging rally that has unfolded since mid-November. Despite this, I will continue to give the short-term picture the benefit of the doubt, since we can never know for certain when, or even whether, a bear market may have ended. Even so, the evolving, bullish look of the daily chart must be weighed against a bigger picture that suggests disappointment may lie ahead. _______ UPDATE (January 19, 8:39 p.m.): Sellers creamed HUI Tuesday, but will still have a chance to reverse direction from 96.72. That’s a midpoint Hidden Pivot support, and it can be found on the weekly chart using these coordinates: A= 186.94 on 5/15; B=101.28 on 9/11; and C= 139.55 on 10/16.
