With a busy and somewhat hap-hazard start to the year, I was unable to get a post in to show I was keeping an eye on the four major US indices for a bullish move this week. Today I identified an opportunity for a long position on the S&P 500 on the 1H chart which was a success and achieved a 2R win.

Below is a screenshot of the trade from the D chart and 1H chart perspectives:

Trade Breakdown:

The D chart shows that the S&P 500 was nicely riding the 20 moving average after having put in a new higher high in the final couple of days of December 2025.

What also caught my attention was that some of the European markets such as the FTSE 100, EURO STOXX 50, FRENCH 40 and SPANISH 35 are also reaching for new highs and so there is quite a bullish sentiment for the start of the year, thus far. These several bullish moves with other indices acted as an additional confluence for me to consider a long position on a US index.

As per the above image, one red flag for this trade is that the Commitment of Traders report shows a net bearish position bias for the S&P 500 and the NASDAQ 100 currently based on the most recent data so I decided to take the long position, but take it on a shorter time frame so as to capitalise on a quicker move. This worked out extremely well.

The trade was managed well with a 1% account exposure, the stop loss was brought up to break even as soon as the trade achieved a 1R profit, take profit was taken at 2R for a 2% win.