They call it the ‘Pennant’ in the S&P 500

I've discussed this multiple times of late but it is worth repeating: technical levels, formations, and other charty stuff once it gets recognized by the mainstream financial media most likely won't work out in a classic way. 

So, if we consider the media attention the the current pennant/narrowing trading range/triangle…whatever you wanna call it…has gotten, we need to keep in mind that it likely won't work out in a clean way.

In other words, if we break out in either direction we may come back into the narrowing trading range again before then really choosing a direction….OR we have a big overnight gap in one direction and keep going..which will keep most folks from having a clean entry.  and so on and so forth…there are tons of scenarios we could map out, the point is to simply remember that the breakout likely won't happen in a technical analysis 101 kind of way.

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