S&P500: Ascending Triangle in the Ascending Channel
Since October 5, the index has been in an ascending channel, which is based on an ascending trend line, having 4 confirmation points, BCDE and AF channel lines.
On November 24, the index failed to overcome the resistance level F, forming a local resistance line FI. At the same time, the short-term GHK support line can also be noted. Together, FI resistance and GHK support form an ascending triangle.
The general rule says that an ascending triangle should always be considered as a bullish model. This means that opening a long position with a stop near the GHK support line is a rational behavior.
On November 24, the index failed to overcome the resistance level F, forming a local resistance line FI. At the same time, the short-term GHK support line can also be noted. Together, FI resistance and GHK support form an ascending triangle.
The general rule says that an ascending triangle should always be considered as a bullish model. This means that opening a long position with a stop near the GHK support line is a rational behavior.