🖼 Daily Technical Picture 📈
➤ Equities failed to take advantage of the early bullish mood. Prices ended weakly for a solid down day.
➤ Yesterday I talked about the current state of the market and it being in a short-term consolidation phase. This is a situation where prices move up and down within a range treading water prior to breaking out higher or lower. Allowing for a new trend to emerge. Typically, the longer the consolidation phase the longer the subsequent trending phase. It's like a coiled spring releasing all its pent up energy.
➤ Today we saw the price fail to break above and continue to tread water. It is a delicate balance because the consolidation has a narrow range (high to low). Narrow ranges don't usually last very long.
➤ I've cut half of my long position in response to the further coiling of price. Short-term direction bias gets more cloudy the longer this goes on.
➤ Conclusion: 🐆 Tread lightly.
EQUITY TREND:
⦿ Short-term (weeks) - NEUTRAL
⦿ Medium-term (< 6 months) - UP
⦿ Long-term (>6 months) - DOWN
➤ Equities failed to take advantage of the early bullish mood. Prices ended weakly for a solid down day.
➤ Yesterday I talked about the current state of the market and it being in a short-term consolidation phase. This is a situation where prices move up and down within a range treading water prior to breaking out higher or lower. Allowing for a new trend to emerge. Typically, the longer the consolidation phase the longer the subsequent trending phase. It's like a coiled spring releasing all its pent up energy.
➤ Today we saw the price fail to break above and continue to tread water. It is a delicate balance because the consolidation has a narrow range (high to low). Narrow ranges don't usually last very long.
➤ I've cut half of my long position in response to the further coiling of price. Short-term direction bias gets more cloudy the longer this goes on.
➤ Conclusion: 🐆 Tread lightly.
EQUITY TREND:
⦿ Short-term (weeks) - NEUTRAL
⦿ Medium-term (< 6 months) - UP
⦿ Long-term (>6 months) - DOWN
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✅ Copy My Trades @ eToro, www.etoro.com/people/mrstocky
✅ Verified Track Record 📈
Not Investment Advice
✅ Copy My Trades @ eToro, www.etoro.com/people/mrstocky
✅ Verified Track Record 📈
Not Investment Advice