I'm not here to call tops this is just an observation of a potential fractal play. Here i'm highlighting some key similarities between the move we have experienced the last few weeks and the one we experienced in May. Notice there are many similarities in how these setups began so it is not out of reason to suspect there could be similarities in the way they end.
1.) The upward move that started on 4/18 traveled 10.11% before sellers stepped in and began the distribution process notice that this current move has ran 10.14 % already.
2.) When the market made new 52wk highs back on 5/3 it traveled 5.81% until it topped out. I have referenced this same percentage breakout run to the one we are experiencing now which does allow for some additional upside from here but i'm still cautious .
3.) A ton of people are looking for upside continuation for the Santa rally so this may make my observation invalid however after large moves to the upside investors may be looking realize some gains and start taking profit for the year so monitoring price action at these levels may help spot a trend shift.
Trade Wise - Stealth
1.) The upward move that started on 4/18 traveled 10.11% before sellers stepped in and began the distribution process notice that this current move has ran 10.14 % already.
2.) When the market made new 52wk highs back on 5/3 it traveled 5.81% until it topped out. I have referenced this same percentage breakout run to the one we are experiencing now which does allow for some additional upside from here but i'm still cautious .
3.) A ton of people are looking for upside continuation for the Santa rally so this may make my observation invalid however after large moves to the upside investors may be looking realize some gains and start taking profit for the year so monitoring price action at these levels may help spot a trend shift.
Trade Wise - Stealth