Wednesday’s agitated price action made it seem like there was a mysterious force holding back the bullish herd. Although it felt like stocks were eager to move higher, every time they tried they got slapped down. This generated a bearish impulse leg of minor degree by day’s end, but on the bigger charts it looked like nothing of importance had happened. We’ll treat it that way, sticking with the very bullish, big-picture pattern shown. It implies minimum upside to the 2405.13 midpoint Hidden Pivot over the near term, with an odds-on shot at 2492.50 over the next 3-4 weeks if the lower resistance is easily surpassed. For trading purposes, a pullback to the green line would offer an enticing ‘mechanical’ entry opportunity, stop 2317.50. That would imply initial risk of about $1700 per contract, but there are other, far less stressful ways to get aboard. For guidance on this in real time, tune to the chat room if and when the futures get within 10 points of the green line. ______ UPDATE (Apr 27, 11:49 p.m. ET): Click here for an alternative rally pattern that tripped a mechanical buy signal today at 2378.38, stop 2358.00. Notice that it projects a slightly higher minimum target (i.e., p2=2408.69) than the one at 2405.13 given above.
