This evening’s ‘Comey rally’ has come from well beneath a key Hidden Pivot support at 2090.25 (see inset), implying it is merely corrective rather than the start of a massive upthrust to new all-time highs. There are too many variables to predict what might cause this to be so. However, it’s safe to say at this point that Wall Street investors seem not merely content to have a felon in the White House, they are positively enthralled by the prospect. As we went to press around 7 p.m., the rally had generated a robustly bullish impulse leg on the hourly chart. It is too early, though, to hazard a prediction as to whether a follow-through leg of equal magnitude awaits. _______ UPDATE (Nov 7, 7:35 p.m. ET): This morning’s energetic short-squeeze exceeded a grand total of zero ‘external’ peaks on the daily chart. The nearest lies at 2149.75, exactly 19 points above the intraday high, but it would take a further rally of 13 points to surpass the second ‘external’ peak we require to signal a proper impulse leg. The hourly chart is bullish as far as it goes (see inset), but not impressively so, since Monday’s high left the futures just shy of at modest, 2135.00 rally target. Let’s see whether the futures can blow past it as we might expect from any rally capable of getting legs.
