Looks like the bears won on the standing sideways movement of the index. The sell down brought the index lower by around 100 points.
Although the sell down made a considerable effect on the index, there seems to be a light on this gloomy scenario. Trading last Friday saw the index creating a hammer formation. This means there was a considerable pull back effort made by the bulls preventing the index from slipping lower. Also considering the channel created during the sideways movement of the index, the sell down last week broke the support line of the channel but the target level of the break down was already reached last Friday. In addition to this, coming from an RSI of above 70, support is usually found when RSI reaches 50. All of these signs are pointing to a possible pull back by next week. The question of whether this pull back would be a continuation of the upward trend is still unknown, but at the very least, if you got stuck with your position, there is a chance for you to sell by next week.
CEB had a bullish run last week creating large spread on the white candles accompanied by increasing volume. This is definitely a unique showcase of strength considering that the market in general was down most of the days last week.
As of current, the stock is exhibiting signs of a pennant formation and a break out that happened last Friday. This break out has a target price of around 105. However, there is a strong resistance at 100.
Watch out for signs of divergence as the stock goes up.
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