Head Fake

Rally this morning is a head fake. I would like to see more volume in this sell off though. The fact that volume has thus far been relatively low supports the assumption that we are forming a "head and shoulders" bottom pattern. This means that we could see an upside starting at around 740-760 on the SPX. The next leg up would probably carry the markets to the 40-60 percent rally targets I mentioned in earlier posts.
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