S&P 500 e-mini futures Chart
The S&P 500 e-mini futures selloff saw the broad stock market futures index decline into a MOB target band and are now reversing higher.
Also supportive to the index is the 50 day moving average.
While I don’t know the magnitude of the advance, I do think short-term traders can take advantage of this deep oversold condition.
The fact that we have a reversal higher from a MOB target band and the 50-day moving average is important (again, short-term – i.e. days).
I am concerned we could see a rally that eventually fails as it did in February of this year.
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