The pattern shown, with a 2851.75 rally target, is unappealing because of the ‘sausage-y’ impulse leg. However, because there are no good alternatives, we’ll use it for now to calculate a minimum upside objective and some buying levels. The set-up so far is not conducive to a mechanical bid, and things are unlikely to improve sufficiently to provide an easy entry point. Our bias should remain bullish for now nonetheless, with a focus on intraday opportunities. _____ UPDATE (Feb 12, 7:43 p.m. ET): Just to get ahead of any possible “surprises,” let me mention that a plunge to 2672.35 from these levels would trigger a ‘mechanical buy’, stop 2612.25. _______ UPDATE (Feb 15, 9:06 a.m.): Here’s a fresh rally target at 2789.25. It is derived from shifting to a lower and more compelling point ‘A’.
