Why is the US stock market reaching new highs so aggressively? 1087 can be shorted

From the daily structure perspective, the upper edge of the descending channel

From the risk-reward ratio perspective, the breakout point is around 109. If this high is breached, it indicates the end of the decline, so 1092 is the stop-loss. The risk-reward ratio is maximized. Indeed, this month’s live broadcast has been waiting for this trade apart from taking short positions, and there’s not much left to discuss.

Where do we see it? First, 1065 should be a take-profit point, and be sure to protect the capital. This is the last stubbornness of the short-term bulls. If it does not break down, and if it consolidates at a high position here (it has been lingering here from last night to this afternoon), there is still a chance for an upward breakout. Short-term long positions can observe the minor previous low at 1063, with a stop-loss if it breaks down.

If 1065 cannot hold, it is easy to see a small waterfall. What came down may come back down. The next levels are 1048 and 1035.

Heat map: First of all, on Monday morning, the funding rate gradually weakened, and many bears were present, making many small investors skeptical and hesitant to short.

Last night in the live broadcast, it was observed that above 108, there was high leverage bear liquidity up to 110,000, but there was no upward clearing, indicating that there might be insider positions entering the market. Additionally, near the new high, a large number of sell orders appeared in the spot market. The bottom line is, when a new high is reached, if you don’t sell, there are plenty of people willing to sell.