I'm still counting on the end of correction in the Euro. Looking at the weekly chart one may find significant lines coming between 1.1050 (the strongest one in my opinion, that's why it posed a resistance on Wednesday) down to 1.0950. Dropping to lower timeframes enables to see the heart of this level is just below 1.1000. We will see tomorrow.

And there it is!

The mania is alive and well. Once China cracked down on real estate speculation, their stock market went nuts. And it's not 'big money' mostly, it appears to be small speculators and grandmothers day trading. I particularly like that last chart. Just like I do the 'fair value' calculation on the ES and find it to be just under 400, for this index it's around 1,000. Proportionally that is in line with the ES ratio from what I just mentioned. But, we'll never see anything remotely close to 'fair value' ever, in my opinion, in fact we may get Armstrong's doubling or more as the rest of the system melts down.

http://www.zerohedge.com/news/2015-05-26/china-equity-rally-reaches-escape-velocity-shenzhen-trades-71x-earnings

Futures close on the high tick of the move, at 5.50, looking strong. I expect this may be a ride for awhile deal. Sure, I can see taking some off into the close, but by my style some must be ridden to see how it goes from here.

Originally posted by jimkane

Levels I am watching:

2.50-3.25

6.00-.50

9.00-.50

But I think it might be done here at 2.50. We'll see.

6.0 hit in the reopen. Now we see what they will do with this second area. But, maybe nothing happens until near the European open.

6.25 and it sure 'sees' it. But, I doubt much will happen before the European open, or maybe even our open. You never can tell, though, for sure. It may grind down off this.

1.0930 was all it could give.
1.0760-80 is my next area.

Originally posted by MarcinO

That's why I expected Euro to hit 1.0875 today.
Looking at the structure on M15 I would say it needs a solid bearish correction. I will be looking at 1.0960-70 and 1.1060-70 if current PTA gives some confirmation.

trap

Pretty much straightforward day off the key area that started the bounce. To make it all the more sweet, it does an incredible pullback near the open to get in for those that were flat. And where does it pull back from? 9.75, my third area. The size of the pullback? My recent students should be able to find at least two highly uncorrelated techniques to quantify the size of that pullback. This is outside of the usual sets, patterns, Fib retracements, etc. that the KT methodology revolves around. If you can't figure this out ask me in a session. Sorry to non-mentor students I have to be so vague, but this is proprietary, under non-disclosure agreement material.

Originally posted by jimkane

Futures close on the high tick of the move, at 5.50, looking strong. I expect this may be a ride for awhile deal. Sure, I can see taking some off into the close, but by my style some must be ridden to see how it goes from here.

Originally posted by jimkane

Levels I am watching:

2.50-3.25

6.00-.50

9.00-.50

But I think it might be done here at 2.50. We'll see.

qqq was an animal yesterday, while dia was the weakest.....note how $spx/ spy/ iwm/ tna all landed at the .768 for a test at the high:

That's cute. Very cute.

Originally posted by rat89

did you say crash close? :o)

Originally posted by jimkane

Okay, that's a nice move into the cash close.