My recent forecast of the market is being updated here, and with an explanation of what I did.
First, if I was trading this market, I would have entered on a short the day after that strong move and would have already been stopped out for a small loss (What can I say? I'm just being honest.)
Next...You might be thinking your TL moved. This is how the forecast got slightly readjusted. There was activity at the previous TL that is unbecoming of TL activity, yet, the recent activity is becoming of a market that is getting ready for a reversal. As soon as something like that happens, my antennas go up. It's just natural. A huge reversal should have been displayed when the TL was hit, it did not happen, and so something has to be wrong.
My original TL was drawn from the peak to the obvious swing high. But, that "obviously" was not the right place. Notice up near the top, my new TL starts with that swing high, and is connected to the swing high that is 6 candles later. I actually like this one better, now that I have looked at it longer. It isw more closely aligned with the bottom of the daily cloud and the top of the SD channel. It is a little out of kelter with my S&R's, but life is not always perfect.
On Friday, we should get the move to my WR2 at 4904, as there is now room under the TL without even so much as a spike. I'm now looking for containment to be between the new daily TL at 4931, and the bottom of the daily cloud at 4954. The former level is dropping daily, which is about 10 points per day.
The answers are simple. This is why the market continues to hedge northward. There is still room.
The daily range, of late, has averaged less than normal. The market is in the R zone. In continuing north, it is now paddling against the flow.
It will blow my mind if the next huge candle is not a bear candle.
Johnny Nash is waiting in the wings.
image hosting gif
First, if I was trading this market, I would have entered on a short the day after that strong move and would have already been stopped out for a small loss (What can I say? I'm just being honest.)
Next...You might be thinking your TL moved. This is how the forecast got slightly readjusted. There was activity at the previous TL that is unbecoming of TL activity, yet, the recent activity is becoming of a market that is getting ready for a reversal. As soon as something like that happens, my antennas go up. It's just natural. A huge reversal should have been displayed when the TL was hit, it did not happen, and so something has to be wrong.
My original TL was drawn from the peak to the obvious swing high. But, that "obviously" was not the right place. Notice up near the top, my new TL starts with that swing high, and is connected to the swing high that is 6 candles later. I actually like this one better, now that I have looked at it longer. It isw more closely aligned with the bottom of the daily cloud and the top of the SD channel. It is a little out of kelter with my S&R's, but life is not always perfect.
On Friday, we should get the move to my WR2 at 4904, as there is now room under the TL without even so much as a spike. I'm now looking for containment to be between the new daily TL at 4931, and the bottom of the daily cloud at 4954. The former level is dropping daily, which is about 10 points per day.
The answers are simple. This is why the market continues to hedge northward. There is still room.
The daily range, of late, has averaged less than normal. The market is in the R zone. In continuing north, it is now paddling against the flow.
It will blow my mind if the next huge candle is not a bear candle.
Johnny Nash is waiting in the wings.
image hosting gif
