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Bounce

Looking at Possible Dead Cat Bounce Levels After TSLA EarningsDepending on investor sentiment, I am expecting 3 possibilities, listed from most positive to least positive investor sentiment: In Purple (most positive): Bounce to $196-$198 fib levels, decaying to $188-192 range. In Yellow: Bounce to $192-$194 fib levels, decaying to $184-186 range. In red (worst): Little to no bounce, very pessimistic view on stock, decaying straight to $180-182. If we hit red, or maybe even yellow, we are looking at a rough 2024 (See my triple top and dip Idea.)
NASDAQ:TSLAShort
by valentine_j_
Understanding the "Dead Cat Bounce" in TradingIn the dynamic world of trading, one peculiar phenomenon that often catches investors' attention is the "Dead Cat Bounce." This term, as bizarre as it sounds, is a crucial concept in technical analysis and market psychology. It refers to a temporary recovery in the price of a declining stock, followed by a continuation of the downtrend. This article delves into the nuances of the Dead Cat Bounce, helping traders recognize and navigate this pattern effectively. What is a Dead Cat Bounce? Originating from the saying, "even a dead cat will bounce if it falls from a great height," this metaphor is used to describe a brief and false recovery in a bear market. Essentially, it's a short-lived rally in the price of a stock or an index following a substantial decline, misleading some into believing that the downtrend has reversed. Characteristics of a Dead Cat Bounce Precipitating Sharp Decline: Typically, a Dead Cat Bounce occurs after a significant and rapid drop in price. Temporary Rebound: The stock or index experiences a brief period of recovery, which may be mistaken for a trend reversal. Resumption of Downtrend: The initial downtrend resumes, often eroding the gains made during the bounce. Identifying a Dead Cat Bounce The key challenge for traders is differentiating between a true market recovery and a Dead Cat Bounce. Here are some indicators: Volume Analysis: A genuine recovery often accompanies increasing trade volumes, whereas a Dead Cat Bounce may occur on lower volumes. Duration: Dead Cat Bounces are usually short-lived, lasting from a few days to a couple of weeks. Technical Indicators: Tools like moving averages, RSI (Relative Strength Index), and Fibonacci retracements can aid in identifying these patterns. Trading Strategies for Dead Cat Bounces Short Selling: Traders might short sell a stock during a Dead Cat Bounce, anticipating the resumption of the downtrend. Stop-Loss Orders: Setting strict stop-loss orders can mitigate risks if the bounce turns out to be a genuine reversal. Patient Observation: Sometimes, the best strategy is to wait and observe the price action for clearer trend confirmation. Case Studies and Examples Analyzing past instances of Dead Cat Bounces can be educational. For instance, examining the 2008 financial crisis or the dot-com bubble burst reveals classic examples of this phenomenon. Conclusion The Dead Cat Bounce is a fascinating aspect of market behavior, representing the constant battle between optimism and reality in trading. Understanding this concept is not just about recognizing a pattern but also about grasping the underlying market psychology. As always, traders should approach these scenarios with caution, equipped with sound research and a well-thought-out strategy.
BITSTAMP:BTCUSDEducation
by GreenCryptoTrades
🔥 TRB First Oversold Bounce In 2 MonthsTRB has been one of the biggest winners of the last two months, doing a 14x whilst most other crypto's only did a 2x-3x. It was a matter of time before TRB corrected. Patient bulls like myself have been waiting for this opportunity. Since TRB hit oversold levels on the 4H chart for the first time since late September, this might be the perfect time for bulls to step in for a swing-trade position. Stop below the recent swing-low, target at 230$.
Long
by FieryTrading
12
US500 expecting a bounce? Here are my thoughts.US500 (Daily Chart) I'm expecting a bounce to ~4260/70 area. Here's why. Looking at the AVWAP (Blue lines) from the January 2022 highs and October 2022 lows, we were bound to see some level of support here. I've been saying this for some time now that we'll reach at least 4100. Given the strong confluence of support around this area (the AVWAP and the horizontal level), I'm expecting a bounce from here. The target for the bounce would be somewhere around the 4260/70 area. If you look at the previous rallies in this correction they're both ~4.7% from the lows of the down moves. If we consider this to be the low of the move, ~4.7% lines up with the 4260/70 area along with the white trend line and potentially with the 50EMA as well, by the time price gets there. What will determine if this rally will stick or not will be the volume behind the moves. If you look at the volume in the previous rallies you can see that the volume was decreasing quite a bit and rose again as the price began to move lower. If this rally is to be sustained, we're going to need to see volume and broader participation from the market, otherwise, if/when we get to the 4260/70 area we'll see the next leg lower. Of course, there will be levels of resistance along the way such as the 4170 area and the 4210 area. As always, be sure to DYDD and be sure to manage your risk.
PEPPERSTONE:US500Long
by HaseebKhan_90
Bullish Bounce on SE. As you can see here on this daily chart, we are approaching this weekly support line. I am going to wait for a bounce off this line with high volume and a strong green Heikin Ashi candlestick. This is a great opportunity and the contracts are looking good. I would not trade this within the week of earnings because of the potential volatility so I would look for a move this upcoming week. Thank you for taking the time out of your day to look at my analysis.
NYSE:SELong
by OptionsMastery
📈🚀 Exciting NASDAQ Buying Opportunity! 🚀📈Fellow traders, listen up! We've got a promising setup on the 4-hour timeframe for NASDAQ that's worth your attention: 📌 Technical Analysis Highlights 📌 💰 Reversal Strategy: After securing nearly 1000 points with short positions, it's time for a strategic shift towards buying opportunities. 🦇 Bullish Bat Pattern: The price action has completed the D leg of a bullish bat pattern, signaling the potential for a bullish reversal. 📈 RSI Confirmation: The RSI is in highly oversold territory, providing a strong confirmation of the setup. 🕯️ Candlestick Insight: Notably, the price is already bouncing, setting the stage for a potential rise during the American session this afternoon. With these compelling technical signals, it's a prime time to consider a long position on NASDAQ. Keep a keen eye on the American session for potential market-moving developments. Aim for the 0.382 fibonacci as a TP1 and the 0.618 as the target Feel free to share your toughts in the comments section, follow me for updates and don't forget to press the like button if this insight was helpful 🌊🚀
OANDA:NAS100USDLong
by Thomas_Zito
23
Bounce Token (AUCTION) forming a Gartley for upto 34.50% rallyHi dear friends, hope you are well and welcome to the new update on Bounce Token (AUCTION) with Bitcoin pair. Our last successful trade setup was the below one, and this was almost 300% pump: Now on a daily time frame, AUCTION is about to complete a bullish Gartley move for the next pump. Note: Above idea is for educational purpose only. It is advised to diversify and strictly follow the stop loss, and don't get stuck with trade.
Long
by moon333
Bitcoin Potential Bounce at 27400 then falling to 20-22KMy previous posts were showing the scenarios of a fall to 29500 then 28500 then 25000. So we are on the 25K side, and I told we will need a further analysis to know what to expect. so here is a speculative first one: From my humble perspective, I'd say bears took the command since last week, I can see that from my weekly chart finally. So I doubt we will see price reaching or ranging around 30K yet. Much like a diver who propels skyward before their exhilarating plunge, Bitcoin's trajectory seems to echo this pattern. Anticipate an upward bounce toward the resistance level of 27,400, akin to the diver's swift climb. After reaching 27,400, we may see a fall to a range of 20,000 to 22,000. Time will tell. Don't take my work for granted, do your own analysis, analyze again then take your own decision to trade or not. PS: I've been deceived by the way bears refrained the price to climb above 32K, since in my early post a scenario to climb to 49K was possible, but the charts is saying something different now. So the overall sentiment is more and more BEARISH for me.
Short
by TradeWithAtemak
2
📈🐂 EURUSD Technical Analysis: Bouncing on Demand Zone! 🚀🐂Hey traders! 🐂📈 Exciting times ahead as we've got a bullish setup on the EURUSD forex pair in the 1-hour timeframe. Let's dive into this opportunity! 📈🐂 💹 Demand Zone Bounce: The price action bounced strongly on the demand zone, indicating an area where institutions have placed their orders and are likely to defend this level. 📈 Descending Channel Breakout: Adding to the bullish momentum, the price broke out of a descending channel and retested it successfully, signaling the start of a highly potential bullish impulse. 💡 Take Profit Zones: As we ride this uptrend, my take profit zones are strategically placed at 1.11300, 1.12000, and finally, my target at 1.12600. Keeping an eye on these key levels is essential for managing the trade effectively. 🧐 Remember, trading requires careful analysis and risk management. Let's keep a close eye on this setup and make the most of potential trading opportunities. Wishing you success in your trading journey! Feel free to share your toughts in the comments section, follow me for updates and don't forget to press the like button if this insight was helpful🚀
by Thomas_Zito
18