We might be at the start of a short accumulation pattern for a dump to 3800.
This would be a series of drops and rallies ending inside of the last drop (Downtrend), probably giving three main entry levels to build up a short position and then turning into a near term capitulation pattern down to 3800.
3800 would be a good target area for this swing. Probably a decent buy area and quite likely to be a spot where I am interested in shorting put spreads.
Sold a boatload of call spreads into the close of last week and have some puts for 4000. Plan to build up more in the coming week if we get the early downtrend action.
This would be a series of drops and rallies ending inside of the last drop (Downtrend), probably giving three main entry levels to build up a short position and then turning into a near term capitulation pattern down to 3800.
3800 would be a good target area for this swing. Probably a decent buy area and quite likely to be a spot where I am interested in shorting put spreads.
Sold a boatload of call spreads into the close of last week and have some puts for 4000. Plan to build up more in the coming week if we get the early downtrend action.