(Chart 1 - Snp day chart zoom)
(Chart 2 - Snp day chart)
Wow... what a day.
We came up to 1348, hit the top of the trading range and the bottom of the very important old bullish channel, and fell like a stone.
2.67 million contracts traded across all SNP futures (On the very high side)
CNBC had to pull every excuse out of the 'o8 bag for why we were down.... (Can't be because stocks are shit and smart money is dumping...)
1346-1310 is the "trading range" of this area(1250-1406). When we are inside it, we want to stay there. When we are outside of it, we have a hard time getting back in. (This and a lot of these funky lines and grids are part of Murrey Math Lines, which you can Google. I have the book which has info not on any site or forum.)
That being said... we are at 1311 currently. I took a scratch on some of my shorts 3/4 of the way of that sell off. Still short quite a bit. I am looking for buying off the 1310 to push us up into the Asian and European sessions, maybe even the US. We have NFP Friday, so it might take the release of the jobs number to get us through this 1310, and will be a dead cat bounce from now until then... Just means I can sell some more ;)
Oh as for targets and contingencies.... If we crack 1310, 1290 is short term and 1250 is ultimate support. If we bounce from 1310 I am looking to sell 1327 and 1343 with a stop of 1350.