Here we have, as you can see, EverRise, which has seen a huge rise today. On September 22nd , these stocks were included in the S&P 500 index. So, we saw a rush from exchange-traded funds (ETFs) and other hedge funds to buy P stocks , pushing them up from the top into this parallel channel.
This channel, which I have shown you, has kept the price stable at this level since May 2023. The price rose to its peak here in November 2025, then fell, finding collective support at the 50% area of the parallel channel before launching upwards on the charts.
Interestingly, the price action closed at this point where the pivot peak trend line connected with the next set of pivot peaks when the price broke through this parallel channel.
And look how comfortably the price closed just above that level . But where do I draw the trend line to determine the price path towards the peaks here? Well, what I do is look for other important pivot points that occurred on the graph, as shown here, from one pivot peak to another.
Simply follow these steps. Then suddenly, guys, here it is! I will admit , I did not make this trade this morning when I saw this sharp rise, and with the stock being included in the S&P 500, I said: "The markets are under pressure.
This is a sharp rise. Let it rise now. There may be a reason for it to rise, but in the end, looking back, technical analysis was the winner." As we can clearly see, rejection from one point of reference to another.
This is the beauty of technical analysis on charts.