22 days ago, when DJIA closed as a , i posted "when it gets TOO bearish" chart. Based on S/R region, i would expect bear challenger to pops up around 16027-16107. And it did. Though price broke down momentarily below 16027 on intraday, price did a huge swing at later session to create long lower tail. Thats when the bulls gain total control.
By end of Friday trading day, we would have a full 3 weeks of bull. At this junction, i notice that price broke out of the , indicators are giving a little bit of mix signal. Price is making a higher high relative to 19 Sept, & are in fact turning a bit southward. has broken the resistance line, but my take is the red line is still below that resistance
If the potential bull trap is for real, we could see "bull challenger" coming around 17600-17700, which means that i need a big red back to give a close of at least back to 17400 to complete a potential "Evening star"