Even though there was zero buying enthusiasm yesterday, bears still couldn’t put this gas-bag away. Instead, it ratcheted lower an inch at a time, presumably bound for the modest correction target at 2351.25 shown in the chart. I have little doubt that it will be reached, and it may even generate a tradable bounce for players eager to bottom-fish. However, I would encourage this only for night owls who get a piece of the implied 13-point downside via a short position. If the target is exceeded by more than a point, bears could take encouragement, since it would imply that a weak rally thereafter could set up a potentially juicy short.
