as I stated earlier, the Stochastic Rev ended up taking a short at the ES bar close. ES is now closed until 6 pm EST.
1st image shows the 10 sub systems that look for short opportunities on ES
2nd image shows the open trades
3rd image shows the 30 min SPX chart with scenario that I discussed
That said - there is risk here. As you know we have Jobs report news tomorrow. Even though the market seems like it should flush lower, there's still a very real possibility of this pattern I show where the move down was a wave c, and it could do a slight undercut of that trendline then reverse start a strong rally. That said, technically the ES systems still have an open long trade via the RSI 40, and if are are currently positioned into that, this would slightly hedge that. Mathwise, for example if are long 3 MES contracts via the RSI 40, and you shorted one contract for the Stoch reversal, you would now be only net long 2. If you are not long the RSI 40, then one could also make a choice not to take this one because of news and risk.
Matt