Fun Fact #55
A 529 plan is a college savings plan where money is put in post-tax, and then the account grows tax free! This is similar to a Roth IRA.
My targets have been slightly modified for June 15th. I am still bullish (more so than before), but if we do break below this minor breakout support level, I will quickly turn bearish for the short term.
Today’s price action completely wiped out yesterday’s losses. Since DIA and SPY broke through support yesterday but bounced back today, I think we have a potential bear trap. Any more upside will result in a lot of shorts panic covering. I think we might first move sideways or down a bit, then reverse higher next week.
The rectangle shows the consolidation zone, with DIA breaking down below support. However, notice that price has snapped back into that rectangle. I predict we break upwards of the rectangle, but it would be advised to sell if it breaks below the bottom of that rectangle again.
The SPY chart looks like the DIA chart, so I’m also expecting an upwards break of the rectangle. Again, another break below 270 is bearish so that might be a good time to sell.
QQQ is still the strongest of the three major indexes. It is currently running into overhead resistance near 170.
IWM is the strongest index by far, and has made a new all time high today. I would consider buying in the 158-160 support zone (breakout location) highlighted above.