Crude Breakdown could take stocks with it says Joe Friday
When an asset takes out horizontal resistance to the upside, it is nice to see the old resistance tested as new support, before pushing higher.
The S&P 500 traded sideways for nearly 18-months, before breaking out to the upside and then testing old resistance as new support at (1) below. Once this support held, the S&P took off to the upside in short order.
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