During the last 2 years, RSI 70+ triggered pullbacks 8/10 times. The other 2 instances saw flat consolidations. 80% chances for a healthy pullback?
Pullbacks post-2025 rally were mild. $SPDR S&P 500 ETF Trust(SPY)$ $NASDAQ 100(NDX)$ $Dow Jones(.DJI)$ $iShares Russell 2000 ETF(IWM)$
And rapid 10% rallies in 10 days historically show strong follow-through.
Data indicates a +0.6% average move 1 week later, +2.5% at 1 month, and +17% after a year.
Even in exceptions like 2000, the trend holds for the first 3 months before pathways diverge.
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