Since its January high at 175.34, Goldman Sachs (GS) has carved out a descending stairstep pattern that is starting to exhibit the right form of a completed correction, both in terms of its double April low at 149.55/64 and in terms of its 33-38 trading day cyclic cadence (low to low).

Barring a breach of the double bottom lows, a potent GS rally period should be approaching quickly (measured in hours) that projects to 160-161 initially.

GS must hurdle and sustain above 152.60/65 to trigger upside traction.

 

Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com.