Did we miss the sell?
E-mini S&P daily chart
Last night, the ES made a feeble attempt to rally and traded to a high of 898.25 before giving way. With the formation of the long down candle last thursday, and another one last night, is the market too low to sell and have we missed the selling action? I think not.
Markets seem to have finally realised that the recent rally has been over-extended without significant fundamentals to support. Technically, we have formed a head and shoulders pattern which opens us to further downside. Suggest a sell at current level 877.75/878 with a stop at 905.
