S&P

Here is an hourly chart of the September S&P e-mini futures. I last commented on this market here.

So far the market is following the script for a three phase correction ending near 1291. In the ideal pattern, the first phase would carry to 1300 or a little below. Then the second phase rally would retrace about half of the initial drop and be followed by the third phase down to 1291.

The most important thing to remember is that this decline is only a correction within a bigger uptrend. I still expect the market to trade above the 1400 level by the end of the year.