Last week, US100 has made a new low at $11700 level. This price movement indicates that the bearish trend is still very valid and therefore, we will continue to look for sell entries after a retracement.
Currently, we can see a potential inverse head and shoulder pattern in making. Thus, we will monitor for a breakout from the neckline area. If the price breaks above, we will then expect the price to reach $13000 level first. If price continues to break above, then it could reach the next resistance level of $13600. $13000 and $13600 are two key resistance levels from where we will prepare to enter our sell positions. From one of those two resistance levels, the price could fall to retest the previous low of $11700.
Check out our previous US indices trading ideas below :)