Been had this one on watch because the setup is always a reliable one that uses the white curve (55 low MA) as a top caller based on the curve of the lows where 55 low uses 180 WMA as resistance - price drops as the white curve slopes to the most upward point without crossing over the blue 180. I tend to use the red vertical line just as a reference point to where the white curve either A) start of the 55 candle count makes higher lows (hence, white MA slopes upward) or B) start of the 55 candle count makes a few higher lows (white MA slopes upward) but is short lived, & continues making new lows (hence, white curve slopes upward temporarily, but the new lows add to the resistance point not being crossed). This is typically a setup I see with upcoming earnings - but $WDAY doesn't have earnings until Sept. 4th - so I'm kinda going out on a limb with this one, because it's usually a home run short entry regardless of earnings beat/miss. Regardless, as long as I don't see the cross of 55 low MA above the 180 WMA - ideal target price is @ or around $126-$130. I'll leave a few examples
Ex. 1 -
Ex. 2 -
Ex. 1 -
Ex. 2 -
Comment:
Yeahhhhh ngl this sob caught me off guard but that's ok lmao. I knew this would've been a bit of a stretch because somehow, this is a pattern I've seen twice, both w/ earnings, & both were 100% accurate. Earnings is 09/04, so I'll hold back til then. Although earnings (assuming I'm 100% right) is doomsday, the top should be coming in this week. Assuming all else equal, we're @ a point where beginning of 55 candle count is about to start making new lows (aka more room for making new highs), but not enough of an push to get the white curve to cross back above the 180 WMA.
Comment:
If you're reading this - buying DOTM options on a Friday before a 3 day market weekend is THE worst decision you could make, until today.
Comment:
Beautiful. TP is $126-$128 so we'll see how the rest of the ride goes.
Trade closed: stop reached