Some interesting patterns are developing here which may put an end to our little correction and send the market higher but it’s unconfirmed at this juncture. Today I began noticing many intraday [15min] wedges, or reversal patterns in the indexes as well as in the Dollar index itself. I noticed NQ broke out of its falling wedge but quickly failed. It then began to form a bullish triangle; the Bulls weren’t giving up the fight. Late in the trading session it broke out of its triangle. I covered my ES_F short and went long NQ_F with a target of $1797 and it hasn’t stopped climbing yet.
A view of the major indexes reveals that only the Nasdaq truly broke out where the others were stopped at resistance so a move higher is not unconfirmed. It could fail or it could be leading the pack so I checked further. Now the Dollar index [not shown] it also in a rising wedge; Bearish. While I’m not getting all giddy and going long equities at this point, these wedges[especially the DXY] are something to watch tomorrow with the job report being issued early morning.
Kos' Tradebuz 