ORIGINAL POST: 9:20 AM
With this morning's continuing fallout from the latest JPM debacle, we should see the completion of the smaller H&S pattern we've been watching. The neckline is around 1338, so look for a bounce around there on the opening.
This plays out well with the analog I first posted back on April 9 [see: Analog Watch] and charted on the 10th and 11th [Analog Details.] At the time, SPX had peaked at 1422, one point above a Butterfly target identified on March 29 [see: All the Pretty Butterflies] and was on its way to our 1357 downside target (tagged later that day.)
The subsequent completion of the right shoulder at the Bat pattern .886 target of 1415 [see: A Swing and a Hit] got the downside started on May 1, and it's been all gravy since then -- complete with the completion and back test of the larger H&S and now, completion of the smaller H&S pattern.
As we discussed last Thursday [see: Still on Track], the latest H&S pattern targets 1275, but I believe it'll be a challenge getting below 1292. Remember, the targets I originally laid out on May 6...
With this morning's continuing fallout from the latest JPM debacle, we should see the completion of the smaller H&S pattern we've been watching. The neckline is around 1338, so look for a bounce around there on the opening.
This plays out well with the analog I first posted back on April 9 [see: Analog Watch] and charted on the 10th and 11th [Analog Details.] At the time, SPX had peaked at 1422, one point above a Butterfly target identified on March 29 [see: All the Pretty Butterflies] and was on its way to our 1357 downside target (tagged later that day.)
The subsequent completion of the right shoulder at the Bat pattern .886 target of 1415 [see: A Swing and a Hit] got the downside started on May 1, and it's been all gravy since then -- complete with the completion and back test of the larger H&S and now, completion of the smaller H&S pattern.
As we discussed last Thursday [see: Still on Track], the latest H&S pattern targets 1275, but I believe it'll be a challenge getting below 1292. Remember, the targets I originally laid out on May 6...
