What’s the level and what’s the play from here?
In an uptrend, price typically swings up to a new high (toward the upper Bollinger Band®) and then swings down to form a higher low as buyers step in (and bounce the market) up away from rising trendlines or moving averages.
This has been the case through most of 2017 except for October when price defied gravity in an extended upswing without a pullback.
TODAY we’re finally seeing that pullback to the safety zone and rising 20 day EMA target.
What’s the plan from here?
Note the Green and Red Price Pathways for planning your next trade(s) within the uptrend.
A support bounce here just keeps us bullish in the impossibly rising bull market while a breakdown beneath t0day’s low target near 2,540 suggests a steeper pullback (look at the other examples in 2017) toward the rising 50 day EMA and lower Bollinger Band® targets overlapping 2,520.
The SPDR S&P 500 ETF Trust (SPY) rose $0.24 (+0.09%) in premarket trading Thursday. Year-to-date, SPY has gained 15.26%.
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