Trading Plan for 11/26

If there is no unfinished business above… then trending higher anyway is often bullish. But trending into a holiday can reflect the weaker-handed sponsorship. So, trending higher might be productive, but not necessarily bullish.

Pattern points… (Setups and technicals)
Almost any other time of year would have taken this morning”s reaction down and extended it. A lot. That”s a big Ascending Triangle forming since Friday”s gap up. And trying to extend it, but failing, tends to be bearish.

There”s also an attraction below. Even in the most bullish scenario, a dip back under Friday”s low needs to neutralize the attraction to the range that preceded it. Even in the most bearish scenario, a dip back under Friday”s low needs to recover enough to retest Friday”s opening gap before trending down.

Actually, to the latter bearish scenario… Friday”s 2071.50 opening gap is no longer the attraction from below. Two sessions later, Tuesday”s open probed above Friday”s high and closed back under it. Now, recovering from 2051.25 “lower prior highs” need only bounce to 2066.00 to neutralize the attraction above by proxy.

First things, first.

What”s Next… (Outlook and opportunities)
Pre-holiday volume is already slowing. Liquidity makes trending difficult, and difficult to stop — let alone to reverse — once begun. Noise within the range is likelier, so it is key to break out of a range early. Afternoons prior to Thanksgiving tend to range narrowly… We might have the Market Wrap during the last half-hour. Be sure to ask about any stocks needing a review, since there is no Saturday Review, and Friday is an abbreviated session.