ES Update

.

.

The VST resistance trend line pointed out yesterday has continued to serve as the top rail of a series of marginally lower lows that have now taken out VST bull stops for the last eleven trading days.

The touch of IT trend line resistance at 1266 on 12/8 was the upside target for the powerful bounce from 1141.75 on 11/25.  Since then, bears have been winning the VST battle.

As I type, ES is testing Stops and Targets’ long-term primary trend support at 1214 and my VST support line at 1212.50.  The gray VST trend line resistance continues to work as a trailing stop line for aggressive bears and is presently located at 1237.  If we are going to see a bounce from the pullback at 1266, I would expect it to come here near 1212.50–otherwise, bears are in control under that line.

…my .02

.

.