{"id":690921,"date":"2018-05-13T14:31:26","date_gmt":"2018-05-13T14:31:26","guid":{"rendered":"http:\/\/juniorminingnews.com\/?p=690921"},"modified":"2018-05-23T12:33:03","modified_gmt":"2018-05-23T12:33:03","slug":"us-indexes-setup-bottom-confirmation-pattern","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=690921","title":{"rendered":"US Indexes Setup Bottom Confirmation Pattern"},"content":{"rendered":"
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\nMay 6, 2018<\/span><\/div>\n<\/div>\n<\/div>\n

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On Wednesday, May 2, we issued a research post supporting our position that the markets were nearing an apex breakout and that critical support and resistance levels had established within the market.\u00a0 We indicated that volatility is usually quite high throughout these apex breakout moves with the potential for a \u201cwash-out\u201d price rotation in the works.\u00a0 In other words, as these apex breakouts happen,\u00a0price\u00a0can sometimes, falsely, break to one side or the other and rotate very quickly to the other side \u2013 creating what we call a \u201cwash-out\u201d price reversal.<\/p>\n

Closing out this week, prices broke lower on Thursday, May 3, and reversed sharply before the end of the trading session to create a \u201cwash-out\u201d low formation which is indicative of a price bottom.\u00a0 We felt strongly that our ADL price modeling system\u2019s analysis\u00a0as well as this bottom formation\u00a0are strong evidence that the US majors will enter a new upside price trend very quickly.<\/p>\n

Last week we entered three trades to take advantage of this increased volatility, fear and large price swing in the markets with\u00a0subscribers of our service<\/a>. We took partial profits of 4% on one, the other is up over 7%, and the third is on the verge of a big move of 20% or more.<\/p>\n

In this\u00a0post\u00a0we want to share with the markets general direction because there are some hot sectors and hot commodities\u00a0like\u00a0Crude Oil<\/a>\u00a0and\u00a0Platinum<\/a>\u00a0that should have incredible moves over the next several weeks.<\/p>\n

SP500 CHANNEL, WASHOUT LOW & BREAKOUT<\/h3>\n

As of Wednesday, May 2, there were two levels we were watching: support at 2623 and resistance at 2658.\u00a0 The triple top formation in the ES was indicative of major resistance near 2658.\u00a0 We didn\u2019t believe this range will hold for very long as our ADL price modeling system was predicting an upside price breakout.<\/p>\n

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SP500 PENNANT FORMATION<\/h3>\n

This ES Weekly chart clearly shows the pennant formation, lower price support channels and the two intermediate support and resistance levels drawn on the price chart, above.\u00a0 Our interpretation of the current market setup is that price may continue to rotate in somewhat violent modes until the breakout is completed.\u00a0 The breakout price move we are expecting could happen any minute between now and the end of next week.\u00a0 We believe this is the most likely time span for\u00a0price\u00a0to attempt this breakout move.<\/p>\n

On Thursday, May 3, the markets created a moderately deep \u201cwash-out low\u201d pattern that we\u00a0called in our Daily morning video<\/a>\u00a0to our members.\u00a0 We execute a few trades at bottom of this price rotation to take full advantage of this move.<\/p>\n

Our previous research indicated the markets would attempt a rally within the next few weeks and we knew this price apex formation often includes volatility \u201cwash-out\u201d reversals near the end of the move.\u00a0 Our instincts proved very successful as the markets opened and rallied on Friday with a follow-through rally.<\/p>\n

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NASDAQ PENNANT FORMATION<\/h3>\n

This, the NQ Daily\u00a0chart,\u00a0clearly shows the bullish price breakout that happened on Friday.\u00a0 This is the start of the \u201cbottom confirmation\u201d that we\u2019ve been warning about for weeks.\u00a0 The next upside move to this formation should push NQ prices to well above 7000 and higher.\u00a0 Pay attention to how this move coincided with a Time\/Price Cycle pattern indicating that we should have strong upside price movement over the next 5~10 trading days.<\/p>\n

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SP500 PENNANT FORMATION STILL INTACT<\/h3>\n

This ES Daily chart shows that the S&P has not confirmed the price breach pattern just yet and will likely rally past this level early this week.\u00a0 This chart also shows the critical support and resistance levels that we had been watching over the past few days and provides a clear example of what a \u201cwash-out\u201d low looks like.\u00a0 Upside potential in the ES is clearly 7%+ over the next few weeks.<\/p>\n

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Our research team dedicated many hundreds of hours\u00a0into\u00a0digging into the underlying factors of the markets and developing advanced price modeling tools.\u00a0 Our Advanced Dynamic Learning price modeling systems and Adaptive Fibonacci price modeling systems are only available to our members.<\/p>\n

If you have been following our analysis over the past few months, you know how valuable our research and timing tools are to creating success.\u00a0 We urge you to join our group of traders\/members by subscribing today at\u00a0www.TheTechnicalTraders.com<\/a><\/u><\/strong>\u00a0to help support our continued efforts to create success for all our members.\u00a0 We continue to be 2~3 weeks (or more) ahead of the markets while almost everyone else is 2~3 weeks behind the markets.\u00a0 Which side do you want to be on?<\/p>\n

CORE COMPETENCE<\/strong><\/p>\n

53 years experience in researching and trading makes analyzing the complex and ever-changing financial markets a natural process. We have a simple and highly effective way to provide our customers with the most convenient, accurate, and timely market forecasts available today. Our\u00a0stock and ETF trading alerts<\/a>\u00a0are readily available through our exclusive membership service via email and SMS text. Our newsletter,\u00a0Technical Trading Mastery book<\/a>, and\u00a03 Hour Trading Video Course<\/a>\u00a0are designed for both traders and investors. Also, some of our strategies have been fully automated for the ultimate trading experience.<\/p>\n

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May 6, 2018       On Wednesday, May 2, we issued a research post supporting our position that the markets were nearing an apex breakout and that critical support and resistance levels had established within the market.\u00a0 We indicated that volatility is usually quite high throughout these apex breakout moves with the potential for […]<\/p>\n","protected":false},"author":1,"featured_media":695169,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[4,373],"tags":[138,137,48,102,135,374,115],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/690921"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=690921"}],"version-history":[{"count":1,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/690921\/revisions"}],"predecessor-version":[{"id":690922,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/690921\/revisions\/690922"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/media\/695169"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=690921"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=690921"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=690921"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}