Despite the constant newsflow, the levels remain extraordinarily precise: In yesterdays plan, the basic idea was pullback, then breakout and this played out. I wrote “Ideally, it just goes to 4335-40 or (or just bases), no lower than 4285-90ish” before the breakout, and 4335-40 was the core support this morning that triggered a clean move higher.
From a technical analysis perspective, today’s move was significant. We broke out the core downtrend line from Januarys high. In classic TA, this would mean a shift into a new buy-the-dip regime. However, there are some concerns, and tomorrows action will be extremely critical. I’ll discuss today how I am trading this going forward, what needs to happen tomorrow as well as address seasonality which continues to track with impeccable precision