Market action for Mon 7/13

Beware the 13th. This goes for both bulls and bears. Market tried testing the previous lows on low volume and that set off a spring into the close. Now this shows SPX 870 line is being protected to prevent the H&S effect and make it into a rectangle. 4 weeks of closing red is not too good for the bear case. Ideally we should have closed above SPX 885 for the week, but did not. 3 days of Dojis isn't good for the bulls either. So, rather than make any predictions about Monday, all I'm going to say is break of 870 on volume says SPX target is 840. Eventual target for H&S neckline break is in the low 800s. Instead if we set off a rally into Opex, SPX 890 to 910 should offer an excellent shorting area.

The probability of a gap and crap Monday is still out there. My ST short position initiated at ES927.5 has now become an IT position with a stop at ES893. Just wish I had doubled on my contracts at 927.5. I hate chasing the market and yet feel pissed about running with a 25% position.