DOW,RUT & TF 1/21

DOW Daily

I'm inclined to take the view that the market is going to continue to go down in the next 2 to 3 sessions. Fundamentals (advances/decliners, sector performance, the general economic outlook within and beyond the US border, political atmosphere etc, etc) aside, these are the technical reasons on which I have based my view:

1) Hammer failed on substantial volume (highest within the month)

2) Price closed below the lowest valley (8360 - which would be my confirmation entry if I were to trade this pattern) of the triple top formation , pulled back, but was stopped by the confirmation line (8360). Yesterday saw price resuming downward, confirming triple top formation

3) The 7 candles before the hammer look like the 1st leg of a measured move down, and yesterday looked like the beginning of the 2nd leg down, with target pointing dangerously at the 7300 - 7400 region (ie. lower than the previous low)

4) ADX turning up from under 20 (downtrend picking up strength)

RUT Daily

RUT broke out of an ascending broadening formation, and just like DOW, yesterday looked like the beginning of the 2nd leg of its measured move down.

It seems we are revisiting wave 3, and probably on our way to wave 5 straight, if market doesn't find support at its previous low.

TF Hourly

TF is clearly not done going down. 2nd leg of measured move down should reach about 400 on completion. Support at around 415 from daily chart might stop price temporarily, or could be from where TF bounces back up.