S&P500 is looking pretty fragile here. If this channel breaks, things get spicey and we head for support much lower. Not trade signal yet but keep a close eye on this channel.
One of two things will happen here, so some patience is required and keep on eye on price action.
If the bottom of the range breaks, the short to the swing lows is on.
If we see it reverse and bounce from here, we have a nice range trade on the cards.
Either way, it's a high probability setup. Our bias is long (aka. we think buy and take the range trade). Just...
Looks like ABG is breaking out higher. First bit of resistance should be the 200-day moving average. Once it's clear of that you can switch to a trailing stop loss.
It's been a long wait for this consolidation to break... and it finally has. Risk on sentiment around the market, underweight institutional asset managers... time for small caps to fly!
