Market Plan for September 26th, 2023

Will we keep going up, or is this a great short opportunity?

Good evening folks,

We started the week with an aggressive down move in the pre-market, followed by an intraday rally of over 40 points. We dropped to a low of the key psychological level of 4300 (to the tick) before a massive reversal to the central resistance level of 4340.

I previewed this exact move in yesterday’s post, where I said:

If we sweep down near 4300 overnight or early in tomorrow’s session, I would consider it bullish and enter long once we get confirmation. This would probably be the market hitting all the stop losses of longs before moving higher - it’s an extremely common pattern.

Now we find ourselves below 4340 again. Do we make new lows, or move higher from here? Let’s make tomorrow’s plan: