Holiday Trade Approaching - Can SPX Stay Green? November 23rd Plan
After 7 full daily candles of sideways chop where ES did not gain or lose 1% (making it the longest streak in over a year) - ES finally put in a good tradeable move today. I wrote yesterday: “My general lean is unchanged and as long as 3950 keeps holding I’d like to see price at least try to push out to 4005+”. After holding 3950, we got a clean one directional trend day and ended it around 4005.
In putting in today’s rally, ES also broke out of the multi-day, textbook bullflag I have been writing about for the past week another example of how simple chart patterns can help forecast moves like todays. The problem? Despite the green day, today in many ways didn’t “feel” like a breakout with a slow, low volume grind up. In addition this, we are still under last weeks highs and RSI has become dangerously overbought.
One full day left before the Thursday/Friday holiday sessions begin. In todays newsletter, I’ll be talking the actionable plan tomorrow, why I think tomorrows action may not be clean, and some big risks/short triggers