📈 Power Hour Update for Subscribers
Bear Trap Confirmed – Now What?
📈 Power Hour Update for Subscribers
Bear Trap Confirmed – Now What?
We nailed it—6025 ($ES) and 21500 ($NQ) were the bear traps we called out, and they held as the low of the session. Since then, we've seen a massive recovery.
📌 $NQ has now erased the entire CPI sell-off and nearly made new highs.
📌 $ES is still lagging behind but has reclaimed key support.
Now, all eyes are on 6075 ($ES) into the close. This level will determine whether we get further upside or if sellers attempt another move lower.
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📊 Power Pivots & Market Structure
🔹 $ES Power Pivot: 6073
🔹 $NQ Power Pivot: 21808
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🔑 Key Levels to Watch into the Close
🚀 Upside Levels – Can Bulls Finally Break 6107?
✅ 6075 ($ES) – The Key Close Level
A close above 6075 can suggest more upside.
If bulls hold above, 6107 finally comes back into play.
✅ 21850 ($NQ) – Nearing a Full Reversal
If NQ keeps holding above 21808, it could test 21928 and beyond.
A full reversal would send it toward 22000+.
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🔻 Downside Risks – Where Sellers Take Control Again
❌ 6040 ($ES) – Danger Zone
A close under 6040 would signal that sellers are still lurking.
This could clear out poor lows at 6025 and send us back to 6000.
❌ 21570 ($NQ) – Needs to Hold
If NQ gives up 21676-21570, momentum shifts back to bears.
A break here could revisit CPI lows.
📚 Market Education: Understanding Bear Traps & Reversals
📌 What Is a Bear Trap?
A bear trap occurs when price drops below key support, lures in sellers, then aggressively reverses back up, trapping shorts.
This is exactly what happened at 6025 ($ES) and 21500 ($NQ).
📌 How Do You Identify a Bear Trap?
1️⃣ Fast recovery after a breakdown – If price snaps back above the breakdown level quickly, it's a warning.
2️⃣ Sellers failing to push lower – If multiple attempts to break a level fail, buyers are absorbing the selling pressure.
3️⃣ Aggressive reclaim of lost levels – If price moves back above key pivots, it forces shorts to cover.
Today’s Setup Was Classic:
✔ Breakdown below 6040, trapping late sellers.
✔ Quick reclaim of 6025.
✔ Explosive move back above 6070.
📌 What’s Next?
If 6075 holds, we could see a full bullish reversal. If 6040 fails again, sellers may attempt to drive price lower.
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🔎 Trading Scenarios for the Final Hour
📍 Scenario 1: Bullish Close → Upside Continuation
If $ES holds above 6075 → Expect continuation toward 6107.
If $NQ holds above 21808, it can squeeze to 21928.
📍 Scenario 2: Bearish Close → Trap Reverses Back Down
If $ES closes below 6040, watch for a test of 6025.
If $NQ slips under 21676, downside momentum may return.
📍 Scenario 3: Choppy Close → No Decision
If price bases between 6040-6075, expect a neutral close, leaving room for tomorrow’s open to dictate direction.
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📌 Final Thoughts – Key Close Ahead
✔ We nailed the bear trap call—6025 was the exact low.
✔ $NQ has nearly reversed the entire CPI drop.
✔ A close above 6075 keeps the bullish breakout in play.
✔ A close under 6040 could bring more downside.
🚨 Key Takeaway: The next 60 minutes will determine if bulls finally push past 6107 or if sellers try to force a deeper pullback.
👀 Watch how price reacts at 6075—this will tell us everything.