Bulls Trying To Build a Bottom: June 23rd Plan

In yesterdays newsletter I wrote: “As long as we are above that 3705 breakout point, my lean is that we work up the levels to at least 3855-65 but probably 3905 and see some follow through green days”. Today, bulls passed test #1: We dipped to the 3705 zone overnight then around 830am again, held it, and saw a major squeeze up to 3795-3800 target where we finished the day.

Despite the squeeze today though, it is important to zoom out. For about a week, ES is more or less just “basing” under the 3800 level. This is quite obvious just by looking looking at the daily chart and all the candles clustered next to each other. Ultimately, we will get another significant, probably 100+ point run out of this, and it’s a pattern we’ve seen before other short squeezes this year. In today’s newsletter, I’m going to talk some of the main chart patterns forming here, targets, as well as briefly discuss some of todays trades