Could instead form a little megaphone across ES 2124 and it could break out downwards.
9:17 a.m. Pacific Time: If you’re playing along on this pre-holiday Friday, here’s where we’re at:
11:07 a.m. Pacific Time: Back at VWAP after trip to megaphone top. Can put in a double wave to the top or continue to the bottom.
Forgot to mention the alternate scenario, which is a breakout through megaphone top to new all-time high at top of larger megaphone.
The purple scenario, with a price channel and price channel breakout, would be the easiest to trade–just bet the price channel breakout after a retrace after a brief pierce. Target would be new high.
The green scenario is more likely to stall out as a double wave to the little gray megaphone top, so would require judgment there.
11:28 a.m. Pacific Time: That green scenario directly above would like be a retest of the top of a potential right shoulder triangle. In other words, the move would be highly likely to end at the gray megaphone top.
The purple price channel scenario would likely lead to a new high.