Backtests, that is. Even since stocks the Phase One non-deal was announced, stocks have been in desperate need of a backtest of some of that resistance (now support) they leap-frogged.  But, it hasn’t been easy.

Now, there are sudden, gut-wrenching backtests.  And, there are slow, boring backtests. Though we’re almost certain to get one, the challenge is knowing when.  If we are going to get a gut-wrenching one, it’s time — last night’s ramp job notwithstanding.

Consumer sentiment is coming up at 10. Stay tuned…

continued for members…

The bigger picture for ES, with a 3047 target added in case its SPX’s 2.618 Fib which is being targeted rather than ES’ at 3076.The SPX version:

Since CL has popped so much in the last two days….. …VIX and USDJPY will be that much more important to any downside scenario.Just checked in on RUT, and see a very interesting (and, not very bullish) pattern developing.  Failure to break out?

BTW, bonds are calling BS on the bump in oil and gas which looks tenuous at best.I’d switch back to short with tight stops on CL, which appears to be losing its grip on the nonsensical spike higher.  Ditto for RB.And, keep an eye on the 2s10s, which aside from a slight bump in the last 15 minutes (guess who promising guess what?) is tilting even more toward the bearish camp.