On the daily chart, SPOT has been running on what is called a long island rally, or just a long island bottom pattern, where it leaves frequent gaps and travels straight up with further gaps along the way.
Long islands are bullish patterns; however, the average rise of a long island pattern is between 37 and 40%, whereas SPOT has rallied over 300% on its long island pattern.
Theoretically its overdue for a breakdown. TSLA recently broke down form the same formation, a long island rally:
TSLA gained 125% on its long island rally.
However, with that said, the premise of this idea comes mostly from an earnings release that is forecasted to be quite bearish, with a decline to 450 over the next 2 months part of the larger forecast.
Here is a modelled snippet of the forecast for SPOT over the next 25 days:
My opinion and position currently is short into earnings.
Not advice!
Long islands are bullish patterns; however, the average rise of a long island pattern is between 37 and 40%, whereas SPOT has rallied over 300% on its long island pattern.
Theoretically its overdue for a breakdown. TSLA recently broke down form the same formation, a long island rally:
TSLA gained 125% on its long island rally.
However, with that said, the premise of this idea comes mostly from an earnings release that is forecasted to be quite bearish, with a decline to 450 over the next 2 months part of the larger forecast.
Here is a modelled snippet of the forecast for SPOT over the next 25 days:
My opinion and position currently is short into earnings.
Not advice!
Order cancelled
The gap down hit my initial TP and decided against taking this after that. 
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- Live Updates,
- Discord access,
- Access to my Proprietary Merlin Software,
- Access to premium indicators,
Consider joining my trade group at:
patreon.com/steversteves
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.
If you're looking for:
- Live Updates,
- Discord access,
- Access to my Proprietary Merlin Software,
- Access to premium indicators,
Consider joining my trade group at:
patreon.com/steversteves
- Live Updates,
- Discord access,
- Access to my Proprietary Merlin Software,
- Access to premium indicators,
Consider joining my trade group at:
patreon.com/steversteves
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.