Stocks - SPY Short Term Rally (Adam and Eve)
Idea for SPY:
- Price had a rising wedge breakout to the downside, but was temporarily oversold.
- Price formed an Adam and Eve reversal structure.
- Great fear was sold by the media at the local bottom in regards to Evergrande, as PBOC boosted daily liquidity injections and Evergrande secured payment to avoid default. Put volume spiked to levels not seen since the bottom of the COVID crash in Mar 2020, 5% from the top.
However, MAs are indeed turning down. Expecting a short term rally to 4400-4500, to create a bit of a right shoulder, then things will get interesting.
If it sounds too good to be true, it probably is.
GLHF
- DPT
- Price had a rising wedge breakout to the downside, but was temporarily oversold.
- Price formed an Adam and Eve reversal structure.
- Great fear was sold by the media at the local bottom in regards to Evergrande, as PBOC boosted daily liquidity injections and Evergrande secured payment to avoid default. Put volume spiked to levels not seen since the bottom of the COVID crash in Mar 2020, 5% from the top.
However, MAs are indeed turning down. Expecting a short term rally to 4400-4500, to create a bit of a right shoulder, then things will get interesting.
If it sounds too good to be true, it probably is.
GLHF
- DPT
Trade closed manually:
Closed the longs (had short dated calls), thats enough for me.
