I have been waiting since August for this sell Opportunity. I believe 4025 is the next Sell area into supply. First sell off was at 4625, second was at 4325 and now potentially this one at 4025. It is no coincidence that they are all 300 Points from each other. On top of that each sell off was at 141 days apart exactly. This small rally we have been seeing since October is just a bear market rally using a bear channel. This last explosive move up from CPI can be seen as a capitulation blow off move designed to trap longs up high for the sell back down. I don't see how 3500 would be the bottom of this market. 3200 is the 0.618 level. 3500 was the 0.50 level. The weekly 21 is pointing down. The daily 200 is pointing down.
I am willing to risk 165 points to try and capture 790 points
I also expect to be in this trade until February or March. Will have to rollover the contract when the time comes.
If price was to break the down trendline and rally up to the stop loss of 4200 area, then I will admit I am wrong and then will have to reevaluate. That would mean this bear market would be coming to an end. I see lower prices in the future not higher.
If trade is successful, then I will use the $3000 in profits to purchase 10 shares of SPY at 320 a share
I still stand by my thesis that I formulated back on October 4th, and I would encourage you to check out both of my Ideas from October 4th. Everything is lining up as planned.
I am willing to risk 165 points to try and capture 790 points
I also expect to be in this trade until February or March. Will have to rollover the contract when the time comes.
If price was to break the down trendline and rally up to the stop loss of 4200 area, then I will admit I am wrong and then will have to reevaluate. That would mean this bear market would be coming to an end. I see lower prices in the future not higher.
If trade is successful, then I will use the $3000 in profits to purchase 10 shares of SPY at 320 a share
I still stand by my thesis that I formulated back on October 4th, and I would encourage you to check out both of my Ideas from October 4th. Everything is lining up as planned.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.