Bulls Survive Major Test - Feb 29th Chart and Trade Plan

Yesterday, I had posted I was long from 4260-4280 with a target of 4340 then to fill the ES Sunday night opening gap at 4380+ and this trade played out perfectly for an 80 point move. Excellent example here of the power of level to level trading even in the face of pessimism at yesterdays futures open.

The technicals though are what is significant - ES held the backtest of the *very* critical 4280-60 support. This multi-month pivot probably determines what the trend over the next 6 look like. Bulls held today which is very constructive for the upside case. However, there are still several major hurdles overhead, and of course, ES also needs to hold it if re-tested on any “news bombs”, of which there are likely to be plenty. Will discuss whats next below