ESZ20 – December E-Mini S&P (Last:3551.50)

I had expected the receding prospect of economic recovery to weigh on the markets last week, but it seemed not to have fazed buyers at all. They stood their ground even though the impact of new vaccine stories seems to have fallen off considerably since the big Pfizer announcement two weeks ago. Now, it would seem, there are a half-a-dozen players, and it’s hard to tell which could deliver a cure that might put America back on track. In the meantime, bears should forget about reaping a bonanza right away merely because deeper recession looms. You can use the 3798.50 target shown in the chart as a minimum upside projection for the holiday season, and p=3498.75 as a place to park a ‘mechanical’ bid. The required stop-loss at 3398.75 implies entry risk of $5000 per contract, so we’ll want to convert the set-up using an rABC on the lesser charts to cut it down to size. For now, our short-term trading bias should remain bullish.