“They can’t go any higher”

I used to work with a trader whose style of trading was completely reversion to the mean. He didn’t want to believe that markets can trend. Long story short he blew up and is no longer trading. Well, this week the ES/NQ would find res and come off only to see the selling dry up very quickly. The fact that we were overbought and yet sellers got very little, if any satisfaction is a tell that we would be higher. This morning we are gapping to new highs which we seem to do every Friday. We are slightly above the ES targets i posted and still below the NQ targets. The XLF is on the move right at the year high 27.10. The next upside target is the 27.5 area. Crude is back near the year high and the XLE is breaking above the 68.25 with the 200 day above at 68.82. The semis ( smh) gapping to a new year high above 112.9 with the all time high at 114.55. The XLK is already in new all time high territory. The IWM is approaching the 159.5 year high. Needs to hold above 157.5.

The catchup plays might be in FANG. Can AAPL get above 202.85? FB above 179?AMZN above 1860? GOOGL 1220? these guys will be my tell for today as NQ is headed into targets.


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