The booster stage of today’s rally from the depths of a shallow hole was sufficiently impulsive to imply bulls could enjoy a favorable breeze on Tuesday. However, entry strategies, even using camouflage patterns like the one shown, have produced only pain so far. Moreover, the immediate potential for this rally would appear to be no higher than 1340.70, the Hidden Pivot target of the larger ABC pattern shown. It’s midpoint pivot lies at 1335.60, but buyers would have to clear that resistance with ease to suggest they’re capable of hitting 1340.70 within the next day or two._______ UPDATE (September 13, 9:52 a.m.): The promising rally begun yesterday has laid an egg, dying just three ticks from the 1335.60 midpoint resistance noted above. The futures could conceivably become a ‘counterintuitive’ buy if a point ‘C’ low forms above yesterday’s bottom (the so-far low at 1325.50 is not quite close enough). However, I would be a cautious buyer at that point rather than an enthusiastic one.
