Only 1 Red Day of the Last 13 For SPX, How Much More Upside Is Left? November 16 Plan
November has been a month for the record books with ES. While November is a seasonally bullish month - the second most bullish of the year - this November has been red for only one of its thirteen trading days. The most recent phase of this rally was caused by ES breaking out its textbook, 3 month downtrend channel from August yesterday after CPI, and we went into melt-up.
As readers recall, I’ve been long since 4380s on Friday, with an addition Monday morning at 4410ish, and this turned into one of the trades of the year for me. My target for today was 4543, and I wrote yesterday: “Generally, the bull case for tomorrow looks like as long as 4485 holds, ES can start pattern formation and setup a run to 4530, then 4543, which remains my target” and today, we got to 4541.25 high of day, before finally dipping.
After +180 points of upside since Friday’s low, ES settled into a consolidation session today, logging yet another green day - though it was a bearish shooting star candle. Is is ES ready to pullback? In today’s newsletter I’ll talk this, go over my trailing stop system (which kept me long from 4380s on Friday until today), then discuss the actionable trade plan for tomorrow.