Bias-down target met.

[pay]The ESm 1381’75 bias-down signal’s break didn’t waste time falling to its 1375’00 target within 45 minutes. The drop even extended down to 1373’50, which was yesterday’s last sell signal that also held a touch as support instead of breaking lower. That touch launched a 13-point rally into overnight highs. Back above 1377’50 would trigger a 4-point bounce back to this morning’s bias-down signal.

Meanwhile the 1373’50 low was an emotional extreme that requires a retest. The retest could probe several ticks lower then recover, and that would allow me to lower the 1377’50 buy signal. But if the retest breaks lower – as the market is destined to do eventually – then failing to hold the retest would resume yesterday morning’s drop. And resuming the drop would trigger more than a pullback to last Thursday’s highs. Much more.[/pay]