Finally, a nice crack in the market. We’re currently testing the 1215 area I’ve referred to as the line in the sand. A break here greatly helps the bearish case, but I’m remaining cautious until we move decisively through these levels.
The chart below shows negative divergence on the 5-minute RSI.
Note also a potential Butterfly pattern that reverses just below 1200, and the .382 Fibonacci from the 1074 to 1292 move at 1209.43.