Bear
-Large Speculators began building shorts 5/3/2020.
-Since then, there has not been a significant amount of distribution volume.
-I think ideally most traders (me) were looking for the parallel channel below Weekly resistance to break down and prove to be a flag.
-POC for the period of short accumulation is marked, and has proven to be the ideal place for Large Specs to build their position so far.
Bull
-The lower distribution volume could potentially mean the Large Specs are trying to build shorts at higher prices.
-Longs still in play for now (but not right where we sit with the 4H SFP)
-Long targets of 61.8% + Monthly Level could be a better place to build the short position. Watch for volume if we reach this zone.
Conclusion
-Room to move higher, but currently showing a 4H SFP of the Daily Level.
-Watch COT reports for Short/Long contract changes. Do they start exiting shorts or stacking at higher prices. Volume will show this before the COT is released.
-Stay with trend until trend change on increased volume.
-Will look to short this level if distribution volume increases & this 4H candle provides another SFP/rejection wick (which is starting to form now)
-Long pullback to local Daily Level, but ensure buying support steps in.
-Large Speculators began building shorts 5/3/2020.
-Since then, there has not been a significant amount of distribution volume.
-I think ideally most traders (me) were looking for the parallel channel below Weekly resistance to break down and prove to be a flag.
-POC for the period of short accumulation is marked, and has proven to be the ideal place for Large Specs to build their position so far.
Bull
-The lower distribution volume could potentially mean the Large Specs are trying to build shorts at higher prices.
-Longs still in play for now (but not right where we sit with the 4H SFP)
-Long targets of 61.8% + Monthly Level could be a better place to build the short position. Watch for volume if we reach this zone.
Conclusion
-Room to move higher, but currently showing a 4H SFP of the Daily Level.
-Watch COT reports for Short/Long contract changes. Do they start exiting shorts or stacking at higher prices. Volume will show this before the COT is released.
-Stay with trend until trend change on increased volume.
-Will look to short this level if distribution volume increases & this 4H candle provides another SFP/rejection wick (which is starting to form now)
-Long pullback to local Daily Level, but ensure buying support steps in.
Note
If i needed to fill a large order of shorts, I would definitely sweep these obvious historical resistance highs.
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.