Well, it appears that the Growth Hormone Market is back to its old tricks. After the recent (sharp) sell-off, the BTFD crowd jumped in and slaughtered every reasonable Bear out there. Now, as the market continues its march/grind/melt-up Higher, my job, like always, is to caution you that: PLEASE BEWARE. Don’t get carried away with this BTFD hysteria, as despite the market’s staggering and preposterous move Higher, the underlying fundamentals, whatever’s left of them, for whoever that still gives a FU*K, are still pretty weak, and deteriorating. Add to that, the technical picture for the market does not look as compelling as the media would want you to believe.
The following is a Daily chart of ES (S&P E-Mini):
As you can see in the chart above, ES has a strong resistance at/around 1670. If it fails at this resistance for a second time, thus forming what technicians call, A Double Top, things could escalate pretty fast, as 99.9999% of the people playing this market are NET LONG (BULLISH). My analysis puts the target around 1460.
Recommendation: SHORT (SELL) AT 1670
Price Target: 1460
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