"Our Current Market is Better Than You Think" Nate Bear, Lead Technical Tactician, Monument Traders Alliance Hey Gang, June kicked off with a bang yesterday, and I couldn't be more excited about what I see in the charts. There are absolutely fascinating setups emerging from the earnings winners that powered this rally… …And that's exactly what my scanner picked up this morning: To be fair, I've been tracking e.l.f. Beauty (ELF) after crushing earnings expectations on May 29th, putting it on my Opening Bell Aftershock list. Now, it's showing all the signs of my favorite TPS pattern: a perfect trend, an ideal consolidation pattern, and a squeeze that's building momentum for the next big move. Let me walk you through exactly what I'm seeing in the current market environment, and then I'll show you why ELF could be our next big winner… Our Current Market is Better Than You Think… All the financial media outlets can talk about is "uncertainty," from tariffs to China. Yet, markets seem to have a different opinion. Equities continue to climb higher while volatility collapses. Momentum names like Palantir are making new all-time highs, while fan-favorites like Nvidia are darn close. Quantum computing stocks like D-Wave Quantum (QBTS) soared. Bitcoin crested $110,000. You wouldn't see stuff like this happening if markets were about to fall apart. Sure, black swan events can knock us off course. But the general trend is upward, with momentum traders taking on more risk. Or to put it simply, stocks exhibiting strength draw in buyers, pushing them even higher. And that's why I'm drawn to e.l.f. Beauty. Why I Like e.l.f. Beauty (ELF) Looking at ELF's chart tells me everything I need to know about why this stock deserves our attention right now. This isn't just another earnings winner that's going to fade away — it's a textbook example of how the strongest post-earnings moves continue to build momentum weeks after the initial announcement. Let me break down what I'm seeing on the 30-minute chart: - Jump on Earnings — ELF gapped significantly higher after its May 29th earnings announcement, showing immediate institutional buying interest. The company didn't just beat expectations; they crushed them, triggering the kind of surprise that creates lasting momentum.
- Consolidation Pattern — Here's what separates the wheat from the chaff. Instead of immediately selling off like weaker earnings winners, ELF has formed a beautiful consolidation pattern near its highs. Notice how the stock has been coiling tighter and tighter, creating what looks like a perfect symmetrical triangle.
- Stacked Moving Averages — The 8, 21, and 55-day exponential moving averages are perfectly aligned in bullish formation, with each shorter-term average sitting above the longer-term ones. This creates multiple layers of support underneath the current price action.
- Nice Squeeze & Momentum Shifting Higher — At the bottom of the chart, you can see my proprietary squeeze indicator showing compression followed by momentum bars that are starting to turn from red to yellow. This is the key timing indicator that tells me when volatility is about to expand in a big way.
What makes this setup particularly compelling is the timing. ELF is currently sitting right at the apex of this consolidation pattern, which means we're likely to see a decisive move in the coming days. Based on this setup, I'm targeting a move toward the $120-125 range in the near term, which would represent a significant breakout from this current consolidation. | 
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