Bear thesis:
-The Daily level almost lines up with the Weekly level by co-incidence.
-Daily alone, and Weekly alone, both have been untested. In isolation, either works but both allows for a confluence and thus increases the probability.
-The Russell typically lags other indices but is showing greater strength recently. This allows for a mean reversal in addition to the technical and statistical component.
-Unlike other indices, the Russell is better at range fills, allowing for a bare minimum target which exists at 1593.60.
-The market 'showed its hand' by creating a support base right at that 1593.60 level, which could be exceeded on the downside if the gap down is underneath that, for a larger move. Otherwise, a portion of the trade would have to be closed. Regardless, markets tend to return to support and resistance, and both are clean.
The market must move a little higher to reach there as of this writing. It appears an an excellent swing trading opportunity. Again, depending on the type of move down, the trade would be closed quicker or if a large enough gap down.
-The Daily level almost lines up with the Weekly level by co-incidence.
-Daily alone, and Weekly alone, both have been untested. In isolation, either works but both allows for a confluence and thus increases the probability.
-The Russell typically lags other indices but is showing greater strength recently. This allows for a mean reversal in addition to the technical and statistical component.
-Unlike other indices, the Russell is better at range fills, allowing for a bare minimum target which exists at 1593.60.
-The market 'showed its hand' by creating a support base right at that 1593.60 level, which could be exceeded on the downside if the gap down is underneath that, for a larger move. Otherwise, a portion of the trade would have to be closed. Regardless, markets tend to return to support and resistance, and both are clean.
The market must move a little higher to reach there as of this writing. It appears an an excellent swing trading opportunity. Again, depending on the type of move down, the trade would be closed quicker or if a large enough gap down.
