Tread Carefully: ES! Head and Shoulders Continuing to Develop

As noted a day or so ago, a head and shoulders pattern may be developing on the S&P futures. It continues to do so tonight. If the rally from today and tonight extends into tomorrow and runs out of steam around 2880, the right shoulder may be topping. I expect a very significant pullback from there as I believe it will indicate the end of the bear market rally.

I do expect us to eventually not only retest the March lows, but to fall much further over the coming weeks and months.