For no particular reason other than it was overdue (certainly), the Emini S&P 500 (e-SPU) this morning staged a recovery bounce in the aftermath of its 99.25 point plunge off of the June 21 rally high at 1129.50, though has since given back some of its gains.

The e-SPU must trade at 1045.00 to get any traction for a countertrend rally -- that will project to 1055/60. Conversely, inability to hurdle 1045 followed by a decline that breaks 1033 should trigger weakness into the 1025/20 intraday target zone.

 

Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com.