2/26/20 Megaphone Has Traversed 100% Price Geometry

Update: 02:30pm EST. If the bounce fails here at 3091.0 area, then perhaps the 3080.25 target zone might need to be hit first (from lowest chart posted at bottom of page). Both are valid megaphone alignments.

Put/Call ratio: Average is 1.15 which is elevated but below yesterday's (2/25/20) level which was 1.3.

Interestingly- not seeing much in the way of agitation in the Global Trading Signal. We keep tapping on the glass but it seems to be stuck around 'Neutral/Optimism'. Strange but it does not show real concern in the broader trading arena. It has been working correctly of late- the last top was a very clear contributing signal. It's not impossible there could be a malfunction but still got to trust what it says so far. The market does not look like a convincing bottom has taken real hold even if the price is close or has already arrived so that would fit with an 'Optimism' signal in the face of declining prices even at these levels.

There may be a slight improvement in the advance-decline daily numbers but let's wait and see post-close.

Update: 09:43am EST. Looks like megaphone geometry has created another alignment. We have never seen this consistency in this kind of setup- we have only ever theorized that it is likely and do not usually get the kind of repetition of projection that's displaying. A (partial?) retrace up is now on the cards. The central zone of a megaphone often produces resistance to further advancement when approached from below so that area is to be watched for the start of the next leg down.

Global Trading Signal: 'Max Optimism' looks to be making an effort now so the mid-megaphone target could be hit soon.

Here's the chart from 2/20/20 (top flag at 'D'). The current ES o/night low of 3091.0 (so far) is close to the zone that was printed, 3098.75, probably the megaphone has traversed it's symmetry fully without pause if that is the intention on this second leg down. First leg is from top flag on 1/25/20. Expectation is that there will be a minimum of two more descending price legs after a retrace back up, if the retrace actually happens sooner rather than later. Also assuming a decent overlapping retrace. The moves are big and 'normal' charting does not often quantify this scale easily.

See latest short-term price projection estimate below this chart.

Global Trading Signal: showed several hours of 'Agitation' for the first time in this current leg. As was stated- when the signal displays 'Optimism' in the face of descending prices- that is very bearish. Just reading the signals, not making them and the equipment is functioning so it did seem strange. May be finally getting a signal that all is not well which might create a bounce if it continues towards 'Agitation'

The bots will flag a "V" when they see a top. 
Our favorite go to site- McVerry Report
This information is for entertainment purposes only. Financial loss can occur from investing