The Trump rally is finally starting to show a little fatigue, having pulled back in recent days without achieving the 21265 secondary pivot of the bullish pattern shown. The retracement will need to develop a bit more before we can draw meaningful conclusions, but if it comes down to the red line that sits 220 points below, we might look to do some tightly stopped bottom-fishing there. Any rally that ensues would warrant close scrutiny because of the weakness, possibly fatal, hinted at by the failure of the last upthrust to hit our mark. ______ UPDATE (Mar 7, 5:01 p.m.) Another 189 points and the Dow will hit the red line. If we’re going to do any bottom-fishing there it will be by way of a ‘camouflage’ entry in DIA, so say tuned to the chat room if you’re interested. If an optimal entry opportunity materializes, it will be posted to The Scoreboard in timely fashion. Regardless, the red line remains my minimum downside expectation for the near term. _______UPDATE (Mar 8, 8:35 p.m. EST): With today’s slippage, the Dow now sits 120 points above ‘mechanical’ buy-signal territory. I’m more interested in seeing what kind of bounce it gets from those levels than in jumping on a trade with a perhaps 50% chance of going bad. In any event, the red line remains my minimum downside target, so let’s see what the next couple of days brings.
