The market is taking the shutdown a little more seriously this morning, with the E-minis currently off 11.5 points and the current falling channel seemingly intact.
The market’s rise since Monday would make for a nice B-C leg of a Bat or Crab Pattern, but it’s too early to say. I still like the red 1.272/purple .786 combo at 1590-1597, with a secondary target of the red 1.618/purple .886 at 1561-1573.
Either would spell the end of the rising purple channel, but a tag on the white channel bottom is much more important and, in the long run, would do more for the bulls.
DX is drawing very close to our 79.6 interim target — currently trading below the important support of 80 at 79.92.
Lots of little — and, not so little — H&S Patterns setting up. The latest targets 1657ish.
ES got a bounce up through the neckline and is backtesting the broken purple channel — probably to the purple .618 at 1685, with a secondary target of the .786 at 1688.