If you could smell distribution, yesterday’s price action reeked worse than dead trout after it has been basking in the sun for a few days. There was no cleverness about it either, let alone something to admire. DaBoyz simply popped the futures the obligatory few ticks above the previous day’s high in the dead of night, stopping out any bears lacking in either cunning or daring. From that point on it was all downhill, ostensibly because there were few bears left to cover short positions. From a technical standpoint, I still like the bearish pattern shown, with an easy-as-pie target at 2016.75 that we’ve been using for a week. For your information, a ‘mechanical’ short from the green line would be showing a thousand-dollar profit on initial risk of $800. Additional gains of $1400 per contract are possible if the 2016.75 target is achieved, as I expect it will be. Traders can use a ‘mechanical’ tripwire at p or p2 to get short, but only if you understand how such trades work. Tune to the chat room for guidance in real time, since there are usually at least a dozen traders in the room who really know what they’re doing.
