At 12:16pm ET I sent a Tweet from @JMSTweets regarding changing our target to 298.60, which was quickly hit 12:30pm. I reset the target because I noticed the 38.2% Fib retracement of the yellow range and the purple Head & Shoulders Neckline converge exactly on today's date and price was heading straight for it and quickly. There are also 2 trend lines forming the apex of a triangle followed by several moving averages close to the original target and might keep us from getting through them to hit the target. It seemed likely we could bounce off that as a support level. Plus its a Friday, and avoiding the risk of 2 days with the market closed is attractive. But I was surprised how quickly it was hit.
You'll notice price closed at 297.10, right between the new target and the original target.
I still think its likely we'll continue down to the original target of 296 at the 50% retracement of the yellow range, and maybe even the 61.8% level at 293.70. There's plenty of runway on the Stochastics. But there are so many sources of support just above the 50% level, we might not make it.
Bottom line is, it's a win:
Entry 301.20
Exit 298.60
301.20 - 298.60 = 2.6 * $100/pt = $260 profit in 5.25 hours.
Here's the chart at the 14:20 ET market close:
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