18 Mar 2014

As we mentioned yesterday the intra-day signal if the longer it stays in the OB range would push the ST into an UPTREND.  The ES futures can be counted as 3 waves from the lows made last Friday.  The pattern might not be complete but if it is then a 3 wave pattern can only be classified as a corrective rally.

MT: DOWN
ST: UP
PA: UP

The lower up-trending line could keep price from rising, and Stoch is at overbought.  Therefore look for an exit in the OB range for price to sustain a downward bias.