The market gaps up above the recent holding pattern above 2820 triggering an S/T Buy Signal at 2827.
Finally some movement out of last week's congestion or holding pattern which, for now, looks like strong support at and just below 2800 has been thoroughly tested.
The numerous reversals of direction last week, although frustrating, is a phenomenon that occurs from time to time. The last occasion was late June / early July 2018 as the market consolidated around 2700. This process builds significant energy for a strong directional move, and so the ejection on Friday upwards is a very positive development.
Be prepared for whatever is coming next, and trade with confidence:
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Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.
