We are trading with an ambitious rally target at 3153.25, but first things first. The immediate objective is the 3008.00 Hidden Pivot shown in the chart. Given the way Monday’s stampede crushed the midpoint resistance, and barring some world-shaking development overnight, the target is all but certain to be reached. Be alert, however, to the possibility that the rally could stall at 2991.25. But if 3008.00 is exceeded decisively intraday, the next significant peak en route to 3153.25 would be at 3074.00. These last numbers are all to be found in this pattern, which is smaller than the ones referenced above but more immediate. It’s a lot to keep track of, but to summarize, the sequence of resistances is: 2991.15…3008.00…3032.75….3074.00….3153.25. Any upthrust decisively exceeding one will put the next in play. The HP levels in both charts can be used to create ‘mechanical’ setups, probably the easiest way to trade this rally. ______ UPDATE (May 21, 8:49 p.m. EDT): The futures have made no headway toward the lowest of my targets, 2991.15, but bears haven’t shown much moxie either. I expect the week to end with a whimper as the nation heads into a three-day holiday weekend, but if sellers turn churlish, here’s a chart to stay a step ahead of them.
ESM20 – June E-Mini S&Ps (Last:2948.75)