Trading Plan for 12/8

If you missed not having Saturday Review last weekend… then you”re going to love this weekend. Join us at 9:30am ET by clicking this link. We”ll review the market”s bigger picture projections and some of the prior week”s relevant setups. Then attendees may request instant chart analysis of any stock or market. See you here.

Pattern points… (Setups and technicals)
This rally is walking the tightrope without a safety net. But it”s not very Wallenda-like. Maybe it”s like a Wallenda crossing a tightrope in a heavy wind.

Friday”s new high close was under two prior intraday highs, despite Friday also having probed another new high. This setup stretches the rubber band without any new traction being gained for the effort. In fact, a last-minute surge is single-handedly responsible for Friday”s new high close.

Coincidentally, Friday afternoon”s sellers gained traction for their efforts by exiting the bias environment under the noon hour”s low, and then entering the final hour under both. Lower lows were probed before the close, but an obligatory bounce off of 2069.75 became a last-minute surge. 

Holding a test of 2075.75 triggered Friday morning”s no-bias environment, and put into play an offsetting test of the 2063.25 bias-down signal. It became “unfinished business below” when the bias environment began lapsing at or under 2075.75. The afternoon”s probe well under the morning”s lows, and closing under 2075.75, both help to reaffirm the 2063.25 objective.

What”s Next… (Outlook and opportunities)
None of which precludes probing higher intraday Monday. And none of which requires gapping down to extend durably. Possibly overbought RSIs left outstanding at Friday”s 2079.00 high may still be retested, regardless of the resolution.