Technically the MKT is in a BULL TREND ACCELERATION posture and has produced a big positive signal. The MKT is in "play" and aggressive action is expected off of technical signals. Anticipate opportunity and position management adjustments, as quick price action is likely.
Key off the 796.20 Inflection Pivot as the low point for any pull-back squeeze and the 818.10 resistance pivot as a trigger to a further gains.
On the SELL side REVERSAL strategies can be executed off 818.10 and the 832.70 resistance levels. Expectations should be for an immediate exhaustive turn with the MKT quickly moving away from the area. A gradual decline folowing a reversal signal and it more likely just a pause before another round of buying, so in either scenerio keep position management tight. Avoid SELL FADE strategies even with confirmation, as this is more likely a lid for a BREAKOUT BUY strategy. SELL BREAKOUT strategies below 803.50 are not recommended but can be used as a signal for a FADE against Directional reisstance at 810.80.
On the BUY side accept FADE, REVERSAL and BREAKOUT strategies above the previous sessions low point. BREAKOUT strategies abive 818.10 should just "go", so do not risk much. Be wary of these strategies early in the session and look to exit on the 1st break in strucutre. BUY FADE strategies at 803.50 and 796.20 are recommended over REVERSAL strategies as the MKT is expected to hold higher structure and any failure should be considered a potential negative corrective shift. The MKT is aggressively bid which should keep pace throughout the session if the TREND ACCELERATION forecast is going to play out.
Note: The worst-case scenario for a MKT in this technical position is to go higher early in the session and then break all day. Be alert to recognize this. If you have > 3 loser long trades consider taking the next sell signal anticipating a corrective turn. Remember in this technical position if the MKT is going higher it should just go. If not there is the potential for a corrective break or digestive trading environment.
JS
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