Are The Tech Bulls Back? Or Is It A Bear Trap

While the bulls finished the week strong there is plenty of work remaining for the momentum to truly shift back in their favor. Geopolitical news can, of course, shift things dramatically, but as things stand, this is how we see the chart.

1. The most recent swing higher high should act as significant resistance, but a break of this level in the coming weeks would be extremely notable. This level is currently not in play whatsoever, in our opinion.

2. An important fractal resistance is overhead. Considering this was set during one of the largest single candle red days in some time, this is a critical level for us. I would not anticipate this level to fall easily, especially on the first test. This is the level to watch at the moment.

3. The Olympus Cloud is still in a bear state, and even if the bulls are able to flip the cloud bullish there is still the fractal resistance we referred to in point 2.

4. We see these two scenarios as the most likely scenarios for the bulls and the bears if either party is to establish firm control.

5. Breaking last week's low without seeing continued downside was notable and lead to a three-day bounce. The bulls are defending the $290 area. Any forceful break of 290 -- a big red candle closing below this level or a large gap under it-- could lead to a test of the $275 to $280 area.

6. An example of what the bulls would like to see. If they can flip the cloud bull, withstand a small retrace, and then push through the fractal resistance, it would be notable.

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PLEASE NOTE: The Title should have stated "Or Is It A Bull* Trap".