Chart of the Day - Thursday, August 29th, 2019

Today’s Chart of the Day was shared on Twitter by John Kicklighter (@JohnKicklighter). It's a four-hour candlestick chart of the S&P 500 index going back to February of this year. For the majority of August, the index has been stuck in a choppy trading range. John notes that the index is currently testing the upper end of this range. This is actually pretty typical price action for the month of August as it's a notoriously volatile and lackluster month for stock returns. Tight consolidations like this often resolve in an explosive move higher or lower. This will be the fourth time in the past few weeks that price has tested the upper end of this range. Will the fourth time be the charm, or does the index run into resistance at this level and head back to the bottom of the range? We could find out the answer to this question as soon as tomorrow!