Looking Like We Will Fill the Gap from 7/12

I was hoping that we would not fill the gap yet. If we kept marching up to say 1102 or even all the way up to 1130, I would feel much more confident when taking shorts at those locations. This would give much better odds at a larger move down. i.e. from 1130 to gap fill at 1075 on the ES, that would be 55 points.

With the sell-off this afternoon, I wouldn't be surprised to see gap fill at 1075 in the overnight session or tomorrow. I am hoping the market can rebound from here and continue up on more positive earnings news. At that point it can sell-off.

However, the market may just be trying to shake out weak longs here. At that point we will see the market rally higher. Its all fine. Either way, the market should be setting up to sell off. I'll let you know when I jump on it. Hopefully I don't miss it...