Stock Rally Nearing The End
Here we have the Russel2000 where a significant breakout midpoint at 1348.7 suggests a reversal zone of 1445.4, which we barely tested today. Further supporting this reversal zone is a smaller midpoint (split between two strong red candles) which proved it's validity since it foreshadowed a swing low at 1295.6. The 361.8% extension of this swing lines up nicely with the 1445.4 reversal zone.
Please see my recent GBPAUD analysis for another example of how I try to tie multiple midpoints together for higher-probability trades.
We would have to see steady price action and candle closes above 1460 to invalidate both the above setups and suggest the lows since late Dec. 18 may be more permanent.