E-Mini-Russell Technical Analysis

E-Mini-Russell
is trading in a price wedge and we have just recently broken the lows of the price
wedge which is causing us to sit on hands and wait for more information.  We
always want to buy the lows of any trading range, and a price wedge has market
personality that says we MUST look for fake-out breakout at new lows.  So right now we are seeing the buyers fail at
price wedge lows and the sellers are trying to push it down to the next major resistance
at 785.7.  If we keep getting new lower-lows
with sellers strong and high speed we will then use wave-pattern to enter short
with a final profit target of 786.5 which is just above the major support below
us.  Look at where we are in relationship
to Thursday’s trading range, we are below the PLOD, which means we should see
the sellers in clear control.   We do not see a clear control from the sellers
and since we’re at price wedge lows this fake-out breakout market personality is
on our radar.  We would rather skip the
selling opportunities until we see clear control with new lower-lows, and wait
for the sellers to fail so we can buy the price wedge and profit target at PLOD
and the highs of the price wedge above us.