ES is back inside its navy blue megaphone/rising megaphone top. That’s a short set-up for a move to at least the light blue megaphone VWAP at 2150 (green and purple scenarios).
But ES hasn’t broken out of its orange rising megaphone yet and the recross of the navy blue line is still very small, so I would keep an open mind and a tight stop until ES has retested the navy blue line from inside and broken out of the orange rising megaphone.
If ES breaks back out of the navy blue line, the orange rising megaphone is extending and we’re in the blue scenario. In the pre-HFT days, that would have been a rare occurrence, but the bots these days like to do small ritual breaks of important lines before reversing. In that case, the price move could be bigger than I could fit on the chart.
The House vote on Ryancare is Thursday.