Almost five months ago, we noted that COMP was nearing an important turning point: our 16,158 target. From Close Enough on Nov 19:

COMP is probably no more than a day or two away from a very significant top.

We identified two downside targets: 12,813 and 10,122.  COMP topped out at 16,212 the very next session and reached 12,813 on Feb 24.  And, again on Mar 14. And, again today. What the heck is going on? After three separate attempts, is 10,122 still on the table?

continued for members…

Turns out there isn’t much of a mystery to it. COMP is trying valiantly to avoid completing a large Head and Shoulders pattern that targets 8,859.

While it would obviously breach the rising purple channel bottom, it wouldn’t be the first time. It happened back in Feb-Mar 2020 too.Stay tuned.