Thursday: Employment Situation @ 8:30 / ISM Non-Mfg Index @ 10:00

Today is I think where the rubber meets the road regarding the Megaphone pattern. The chart shows 2 Keltner Channels; the dashed is the 'normal' two standard deviations, the solid is 4, which usually contains extremely overbought/oversold price action. Top of the bigger one *happens* to coincide with the top of the Megaphone, so that is where my focus is on this morning. Interesting to note a possible inverse Head and Shoulders; we have an unfilled gap below which can still be closed and the right shoulder remain unviolated.
1819 is the Daily 200, today's close relative to it will send a message.
As for price action today:

Trend Day...not likely, back to back with yesterday's move, which was 50% more than the average daily range.

Chop Day...very possible, given price wanting to consolidate after a big move, to see how "comfortable" traders are "up" here. We have a well defined box from 13 to 25, 12 points, which can serve as a choppy day's range/containment.
News will have an effect on this. The top yesterday was right at a weekly Volume Value Area at 25, where there was a lot of horse trading before the big sell on the 23rd. Yesterday's bounce off there tells me thats likely to be an unloading zone vs. a 'load 'em up' zone...and could serve as a cap to further upside, as temporarily extended as we are.

Average Range Day....even more likely, my guess would be South to YesterCenter around 98. Should they use the Volume Value area to 'make camp' and stay awhile, price will naturally want to seek a probe of 43, 50 and 60...the first two are certainly within reach. 32 is a 50% retracement of last's months swing down.

22 is going to be the first battle right off the bat, so based on PA around there or higher at YesterHigh I will be looking to get short. Crazy strength around there and I will back off. If we lose the bottom of the box around 12, any test back up to it will be a nice opportunity.