Narrow movement and light volume expected this week. Month end may provide some heavier buying/selling. The NAZ 300 point move (out of the 22 day box) was accomplished with 1 day and 15 minutes on Friday. I am not putting much weight behind the current NAZ level and feel that recent bottoms will be tested to verify these levels. This week, expecting some quick drop tests (that will quickly get bought). Next week, expecting significant declines that may not be bought so quickly. Reference the Link below, my Grinders reference will highlight the time of Grind Up vs Drop time/distance.
Comment:
Projected close is 15570, typical Monday with up and usual sell off near EOD. Light volume is exaggerating moves.
Trade closed manually:
Under 15630, Short Set Up for Low Volume "Grinder" month end (tomorrow) drop. Look to Fade this recent move in NAZ. Will update in Overnight and near Open. Watch the fantastic Whipsaw that will follow.
Comment:
The Institutional Whipsaw is when you see the markets drop and then reverse, all you see is buying and this is where the traders and speculators sell their inventory (that they bought on the way down at lower prices). They then sell it back as prices rise (all buying from retail world). The whipsaw is when they use bad news to reverse PA and buy the shares that retail is now selling. They store it and accumulate only to sell it back when they use a reason to push markets up and sell it back to retail world. Recent lift up has had no selling and is on low volume, a easy layup for the pros. These groups make money on spread and any appreciation in price. This was noticed during the Top Box to Bottom Box bounce, and here we are.
Comment:
NAZ broke above 30 and Mid Level is 33, key level.
Comment:
NAZ at Key level, fell 45 points and needs to pass 45.
