The 10Y gapped down to 4.528 earlier, backtesting an important channel top and almost reaching our 4.5 target.

It would be a bit more convincing if the “breakdown” in oil was more substantial and was inspired by actual events rather than the flapping of presidential gums.

But, the algos care not about the veracity of the soundbites, only that there are soundbites. And, that VIX is lower.

Note that VX is still resisting the temptation to dip below its SMA200, keeping equity bears’ hopes alive.

From our vantage point, the recently completed Crab Pattern should still matter. VIX has yet to make a lower low and DXY is chomping at the bit.

ES’ retracement is deep, indeed – just what the doctor ordered for a Friday that tests traders’ courage. And, no one would be surprised if the White House announced something bullish (whether true or not) over the weekend. But, the harmonic patterns are still alive.

Remember, markets will be close on Monday for Memorial Day.