The ES is Vulnerable to One-Way, Friday, Downside Action in Aftermath of the Jobs Data

Although the e-SPU has preserved and rallied off of its initial reaction low at 1910.50 after the Jobs Report this morning, let's notice that it remains within the confines of the near-term down-channel off of yesterday's recovery-rally high at 1073.50.

To break out of the down-channel, the index must hurdle and sustain above 1936.

Otherwise, it will remain vulnerable to downside continuation (especially later in the session ahead of the three day weekend) to break today's low in route to a test of the Sept 01 low at 1898.75 next.

A break of 1898.75 greatly increases the likelihood of downside acceleration to retest the Aug 24 low at 1831.