ES Morning Update October 17th 2017


Well gang... not much to say this morning.  Yesterday was another Ground Hog Day and today is still unknown.  You'll see now that the market has been riding the rising blue trendline as I guessed it would.  The question left is... will it bust on up another 10-20 points from it or breakdown through it?  It's really a tough call here.  On the SPX daily and 60 minute charts they show a market still overbought, suggesting the next big move will be down.  But it's so controlled that picking exact time and date that it's going to drop seem futile as the market just continues to grind up a little it day against logical reasoning.  Anyway, the next big move in my opinion should be down.  I fully expect that 2462 gap on the futures to get filled and I would not be surprised if we don't reset 2417 where the prior low was.  But telling you when it's going to start is something I can't do.  My recent thoughts have been that we'll drop about 20 points or so first, then back up again for a another higher high and then back down to fill that gap.  Whether it happens like that or just drops from here and fills the gap is a mystery to me.  But a breakdown of that rising blue trendline seems more likely today then a 10-20 point bounce off of it.  That's all I got for today unfortunately.