Charts I’m Watching: Mar 27, 2014

There’s much more potential downside ahead — if it’s allowed to play out [see: Are Bears Doomed?]

The e-minis have completed a H&S Pattern that targets 1806 if it’s allowed to play out.  Remember, this is the right shoulder of the larger H&S that completes at 1823 or so.  The Flag Pattern indicates 1821-1823.

2014-03-26-ES 60 min 0553USDJPY has recovered yesterday’s dip to the purple .618, but is running into channel resistance.

2014-03-26-USDJPY 60 min 0553The 10-yr bond, another of our three signals of a major top, continues to rally.  Though, it’s approaching yet again that channel midline that has proven so formidable in the past.

2014-03-26-TNX 4hr 0538SPX would benefit from a tag on the .886 (1844), after which we should get a bounce.  But, with all the H&S Patterns in play, it’s do or die time for the bulls.

2014-03-26-SPX 15min 0620A reminder, I’m traveling today and tomorrow, so additional posts will be spotty at best.


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