Dippin’ Dots ES

I would be inclined to watch for the dip this morning and buy it once there is some reassurance/confirmatiopn it is actually a dip and not a dive. If we fail to have a dip this morning, I would be prepared for it for the afternoon ending and/or the next couple days. The question is will the Santa rally ring true this year…something, I think, is on everyone’s mind. I am going with yes, but a very dull one that will test the upper down trend line and likely get rejected again. This could be a catalyst to a proper correction (not a crash), but a very intense retraction.

When in doubt, just stay out. My guess is that overall it is going to be flat with the usual whipsaws of late until after Christmas. At this point, I would expect some type of serious pull back, perhaps in January. This will be a great opportunity to buy, but I wouldn’t do anything too big above 3570.

Have a great day of trade ahead.

-Signore Fibonacci