On Monday August 15, 2016, S&P 500 future broke out to the upside from a constellation of bullish patterns on intraday charts. Let’s take a look.

### First Rectangle Trading Box

The first pattern on the 2-hour chart is a rectangle trading range. This range is shown by the lines ‘A’ and ‘B’ in the chart. Following better than expected June Non-Farm Payroll report on Friday July 8, 2016, the S&P broke out of a consolidation patterns. Next week’s follow-through brought the index in the trading range mentioned above.

S&P future tried to break out of this pattern on July 31st but failed. The retracement halted at the lower limit of the box. The resultant bounce took the price above the upper limit on August 5th. Since then the futures tested the break – ‘L2’ on the chart. The upper limit of the pattern is at 2172.50 and the lower limit is at 2143.25, giving us a height of 29.25 points. The measured target of this pattern are near: (i) 2190 using 61.8% extension; (ii) 2201 using 100% extension, and (iii) 2220 using 161.8% extension

### Second Rectangle Trading Box

After breaking out of the first rectangle range, future got stuck in the second trading range bounded by the line ‘C’ and ‘A’. With its price move on Monday, August 15, the future is attempting to break out of this range. The upper limit of the range is 2183.50 and the lower limit is 2172.50, giving us a height of 11.00 points. The measured target of this pattern are near: (i) 2190 using 61.8% extension; (ii) 2193.50 using 100% extension, and (iii) 2201 using 161.8% extension

### An Ascending Triangle

The price is also showing a symmetrical triangle bounded, in which the upper limit is bounded by ‘C’ and the ascending line is bounded by L2-&-L3. The high point is 2183.50 and the point ‘L2’ is at 2167.75, giving us a height of 15.75 points. The measured target of this pattern are near: (i) 2193 using 61.8% extension; (ii) 2199 using 100% extension, and (iii) 2208 using 161.8% extension

### Uptrend Line

Since August 2nd, the S&P future is staying above an uptrend line – L1-L2-L3-D2. The line was test twice and withstood the decline. As long as this uptrend line is adhered to, the above patterns will stay relevant, at the least.

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