Why a Market Can Break Support and Still Reverse Higher
Price breaks below support, sellers enter, and the market briefly moves lower.
Then NQ quickly reclaims the level and starts moving higher.
This can indicate that the breakdown failed to attract sustained selling or that buyers absorbed the pressure.
But I don't assume every breakdown will reverse.
I look for the reclaim, the market's ability to hold above the level, and a clear point where the recovery idea would be invalidated.
A failed breakdown becomes more interesting when price confirms the failure.