The Storm Has Not Quite Passed Yet

Before I start filming my usual Midday Video for Members, it is worth a reminder that chart patterns can and often do morph. 

Case in point: The 15-minute chart of the small cap ETF, below, shows the larger triangle forming going back to last Friday. 

For all of the drama this week, thus far, the Russell is still searching for its next directional move. 

The lower highs and fairly flat series of lows is a descending triangle (light blue lines), which can often be bearish when seen in the context of a downtrend. But at inflection points bears had better keep their guard up, too. 

This morning, we saw a fair amount of back-and-forth without much upside progress made by bulls. If the market does continue to slide into the afternoon I suspect there will be a mad scramble for the exits.

But, for now, we have a bit of a holding pattern.