The futures have been down as much as 17 points Sunday night, equivalent to a drop of about 140 points in the Dow. Usually this sort of weakness means that the sleazeballs who work the night ship are trying to exhaust sellers, the better to run the futures up bears’ old wazoo in order to profitably exit the contracts they’ve imbibed overnight, not necessarily eagerly. That is undoubtedly the case at the moment, but sometimes even the sleazeballs get it wrong. They may not know until an hour or so before the opening bell whether fears stoked by overnight weakness are going to produce an avalanche of orders to sell-at-the-market. In any event, until such time as their calculations at this hour are overwhelmed, I’d suggest using the 2734.25 target shown as a minimum downside objective for the near term. Night owls should take note, since the bounce we might expect from that Hidden Pivot could take the form of a juicy ‘counterintuitive’ set-up for bottom-fishing.
