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Debt ceiling uncertainty is certainly driving fear levels higher! VIX is approaching falling channel resistance as the 500 index is testing channel support as the debt clock winds down.
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500 Index is within 1% of rising channel support this morning, after creating a bearish wick so far today! On a weekly chart the “Head & Shoulders” looks to remain in place.
The combo of rising channel support and the H&S pattern at hand makes “this test of support” much more important than prior tests.
“Power of the Pattern” at this time continues to suggest very low risk exposure due to the H&S pattern at resistance!
