With the bearish case on Bonds being so touted recently I'm wondering whether it's not a big smokescreen suggesting that quite opposite may happen... Especially after looking at the following charts:

What do you mean here, Jim, in this case, 'caution is warranted'? The 4PT and line are from a higher timeframe, and may start the move up again. It may be worth a shot at that area. But when they go 'risk off' so hard it can be extensive. Hence, if one did take a shot at this area, I think it is important not to marry the position, but be open to the price action clues, and heed them, if this stops acting right. Stay with the 'Trading Plan', no matter how good the area and setup looks. In this case, the caution wasn't necessary, and it looks like it has moved enough now to be in management mode, and it now does what it does. Plenty of cushion should be in the trade at this point. Just some opinions.

Originally posted by jimkane

Key line and 4PT here at 36.25. But this is a scary down move, so caution is warranted.

Keep a close eye on this area here.

I don't see any more downside for awhile now.

Let's see if I have to eat those words and that was the high tick for the move...

Let the selling begin after completion of this small bearish 4PT:

I don't have to eat the words too often...

Originally posted by jimkane

Let's see if I have to eat those words and that was the high tick for the move...

Originally posted by jimkane

I don't see any more downside for awhile now.

It will be curious to see if they sell that 4PT jarek showed in the after-cash. I don't see it doing much but getting ready to set new highs, but we'll see.

If it explodes up instead would that be this famous KT rocking chair pattern failure?

I'll try to answer that later. The answer needs a little detail.

Originally posted by jarek

If it explodes up instead would that be this famous KT rocking chair pattern failure?

Click image for original size

Well, I hope all my posts were of some use to the daytrading ES traders in here. One thing to study is the varying degrees of areas (degrees kinda meaning timeframes), and how the higher the degree, the more influence it generally will have on a lower timeframe. So, I look at areas and their degree, and what the other degree areas are that may be pushing on it. Today was a great day to study this, as it really went area to area to area, on varying degrees, and higher degree areas had more sway. This is advanced stuff, but was the gist of what I was trying to show with my posts. Well, what I was trying to give the building blocks for, for those who want to do some advanced work and recreate things and study them.

just traders trading..... if the red line green set on yesterdays close was to be valid,in the face of the insane last hour bullishness, then OUR TOOLS, AND NOTHING ELSE.... should have pointed to RISK OFF!!! in the face of the manipulation in the indexes.... i think they did their job.... and all the way down today... they said repeatedly trend day shooting for targets...