The sharp reversal higher after testing important retracement support for Dec S&P is seeing the contract push to new highs for this rally while keeping the pattern of higher highs and higher lows intact.
This is one of the more important technical patterns for technical analysis and is a strong signal that the upside move should not be faded until significant support is broken. There are some potential warning signs such as bearish divergences and fading trend signals but price action is the key and the ability to maintain trade ab9ove the November high at 1411 is a powerful sign.
It would take a daily close below 1377 to start to damage the higher high/higher low pattern.
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