The inverted head and shoulders pattern we laid out in last week’s Market Analysis played out perfect. Taking a quick look at the bull and bear case we can see the overhead resistance of the 50 day moving average. The bears will have a good risk/reward here to put on more shorts. Looks like the futures are down this morning with not much coming out of Greek elections and Spain news coming in this morning. Gap downs are typically a lot easier to trade than a gap up due to the fact we can get a hard reversal and go green during the day.
{denvideo http://www.youtube.com/watch?v=4snHmoIhqa4}
