...made a rounding top starting December, trapped the bulls on a 3-day bullish island reversal in January. Ended up in the middle of July '24 gap down.
Negative YTD, under the VWAP from the top. It was never about NVDIA or DeepSeek news.
Just above 230 (last Friday's high) seems to be a level where 50% of the weekly, monthly and quarterly bars will be retraced, after the respective bearish range expansion on each timeframe earlier. This week seems offer an opportunity to trap everyone who has been bearish on Small Caps and open the road to the all-time highs. Failure to follow through above 230...
Ideally, I would like to see a few more days of resting / corrective activity, following 6 straight days of range expansion, and a prior pivot high is a logical place for a dip or an inside day.
Let's look at sector-by-sector analysis, using The Strat method:
1) Look at the colour of the candle on each timeframe to determine who is in control: bulls or bears✅
2)...
#energy AMEX:XLE follows through higher, keeps reversing on the monthly, quarterly target 92.56 (4.8% higher) for the outside candle to complete.
#TheStrat
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before a sustainable move into the green 50% rule box. Then proceed to the targets. Ideal scenario, if it traps both the FOMO players AND the bears. #TheStrat
Energy remains the only up-trending sector. AMEX:XLE
AMEX:XLC is the cleanest dirty shirt with an inside month.
Overall, not a good look of the market with the 3 remaining days of the ugly month of September NASDAQ:QQQ AMEX:IWM AMEX:RSP NASDAQ:QQEW
To follow up on the previous post, added a snapshot of multi-timeframe US sector analysis
NYSE:VALUG AMEX:IWM AMEX:SPY NASDAQ:QQQ AMEX:DIA
Data as of September 22, 2023
Many studies show that passive is superior to the active investment approach, and I agree that most money should be managed passively, using low cost broadly diversified index funds. Markets are mostly efficient in pricing securities, meaning there are not many proverbial 20-dollar bills you can find on sidewalks. However, some anomalies have also been...
Pretty amazing nobody is talking about the #momentum crash that erased 3 year gains of this strategy. I guess the lesson here is as much as we like to chase things on the way up, never underestimate the power of value and reversion to the mean! $PDP $MTUM
ETHBTC has gone back to the bottom of the consolidation range now.
I see no edge for going long below 0.032, continue watching these levels as they seem to be important.
A rather deep pullback in gold threatening the trendline from December but into some good support. Holding these levels would be constructive and I will be bullish if gold keeps rallying despite the rising interest rates...
Watching a pullback in crypto, as a technical trader, I find #Ethereum to #Bitcoin ratio descriptive of the general move in this space. (Is it fair to say that like with #silver to #gold ratio this could signal risk on / risk off sentiment in this space that helps understand the direction of the next move?)
Anyway, important levels I watch: Fibonacci 1.618...
ETHUSD has backed off a key level of 750 (50% retracement of the 2018 crash) and violated the short term trendlines. Failure to overcome this weakness may result in further downside.
