Short

Updated

A rejection of 2850 results in this

Note

2850 has broken, which is not surprising, we should see 2886 as the top of todays rally then a retest of 2850

Trade active

spx has reach 2886. I believe this is the top for the day. Selling calls against all my stonks . Also shorting hog futures /hek20 with a $64 target

Note

So the reason I sell calls here is because we have this ascending resistance line. We are very unlikely to break it (but if we do the bears will be in a world of shit) Being stuck between an ascending resistance line and descending support line is a very ambiguous area that calls for sideways action where the may 8 and 15 calls should all expire worthless.

Note

I believe we'll be going sideways in this channel for a while

A break below will send us to 2600 and a break above will reach new ATH, and I don't think the market is ready for that decision yet.

Trade closed: target reached

I've shorted the spy at 289 and covered by selling the 286 may8 put. A breakout into the bull channel will refund some of my loss and if I'm lucky the put will expire worthless while the short profits.

Trade closed: target reached

spy 285 reached, now long to 290

Note

short again at 288 with new resistance. I won't close at 285 this time but wait for confirmation of continued downtrend

Note

back at 2850, now watching carefully if we'll go lower or bounce, a bounce should break the new resistance and go back to 2900

Note

looks like a clean bounce. next target 2900 range.

Note

We formed a scam wick below 2850 which I probably would have stopped loss on but I slept through it. We'll be making the 4th test of this RSI line at 2860 and should definitely break it this time followed by a target of 2930.

Note

our scam wick has opened a new bull channel

next swing targets are 2930 to 2880

Trade active

target generally reached, took profit and went short at 291.58 though it could continue to 293, i had too much profit to sit on, next target is bottom of the channel, roughly 286 or 288 depending how long it takes.

Note

but if we don't sexily touch the top of the channel, i'll take small profit on this short and re-long somewhere in the middle of the channel, the extra time spent will push the high target up to 294.

RantingPatriarch

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RantingPatriarch