The window for this to start off next week neutral or green is closing fast and the economic calendar for next week looks like it wont be providing any fundamental support, depending on how you perceive rate decisions to impact the current economic climate.
Technicals:
FIRST bearish sign
two separate resistance structures are currently witching or converging; 1-The thick horizontal red line at the highs of the weekend structure. 2-The thin white descending line that is a copy of the descending white line established by the two lows following the main drop that set the tone for the weekend.
SECOND mostly bearish sign
POC(red line on volume profile near lows of weekend structure) from the second leg of the drop, including the two following lows, established the level of possible trapped shorts. Possible bullish silver lining: This could also be an area of demand created by the presumed defense of what could be some new long positions.
Conclusion:
If this does breaks up, it could point to a Monday where Tech(NQ/QQQ) tries to build appreciated or elevated support for a turbulent week of dreaded economic releases starting Tuesday. If bulls take control Monday, they still have previous support to contend with as possible resistance, at or near $22.5k before moving higher.
Technicals:
FIRST bearish sign
two separate resistance structures are currently witching or converging; 1-The thick horizontal red line at the highs of the weekend structure. 2-The thin white descending line that is a copy of the descending white line established by the two lows following the main drop that set the tone for the weekend.
SECOND mostly bearish sign
POC(red line on volume profile near lows of weekend structure) from the second leg of the drop, including the two following lows, established the level of possible trapped shorts. Possible bullish silver lining: This could also be an area of demand created by the presumed defense of what could be some new long positions.
Conclusion:
If this does breaks up, it could point to a Monday where Tech(NQ/QQQ) tries to build appreciated or elevated support for a turbulent week of dreaded economic releases starting Tuesday. If bulls take control Monday, they still have previous support to contend with as possible resistance, at or near $22.5k before moving higher.
Trade active:
that was fast, if short, move stop into profit.
Trade active:
Moving the stop on this trade into profit, immediately following the favorable excursion, would have resulted in a short scalp. If you got stopped out in profit you could have another shot at a decent short entry, if you neglected to move the stop into profit things are still looking good for this to continue dropping.
Again, as with anything created by this account, this is NOT financial advice!!!!
Again, as with anything created by this account, this is NOT financial advice!!!!
Trade closed: target reached:
Well that's close enough for me.
Comment:
original linework needs no captioning, the physics of symmetry speaks when translated for the human eye, via the filter of trendlines.
Comment:
Comment:
you can see the power of a trend line, the two solid white lines with the dashed line between have been present and not adjusted since the original ppublishing.
Comment:
As the chart shows over the last 5 days we have met some kind of resistance at the level I identified and shared above on the 20th of January.