Bitcoin Breaking DownBitcoin has triggered a bearish breakout from the recent consolidation as this rally's momentum has slowed. I am looking for a 50% Retracement of the rally.
Spike-trading
50+50 Retracement Setup on WATThis morning I received an alert for an opening volatility spike on NYSE:WAT . This opportunity is occurring as price action respects a 50% Retracement Level on the Daily/Weekly as support.
The Nasdaq just did THIS - Pullback ComingThe stock market rally is stalling out today and the Nasdaq has hit a key Resistance. Does this mean the end of the recent rally? Is the market heading for a crash? I'm going to look objectively at price action and the VIX to explain my thesis as to why a new All Time High for 2022 is likely.
Twitter ToppingCatching up on alerts from Friday last week when NYSE:TWTR signaled a spike. I like a stop loss above the recent short term consolidation with a bearish trade back down to the rally's 50% Retracement Level. Earnings are 4/28/22 and IV has returned to normal. I like either a short shares trade or a long Put to play this rally ending and price retracing to 36 over the next few weeks.
Market at KEY Resistance TodayThere are signs the recent rally may be stalling. The S&P 500 Index (measured by futures CME_MINI:ES1! ) has retraced to the 50% of the ATH down to the 2/24/22 Ukraine invasion low. This morning there was a spike on the open to give confidence that this is in fact a resistance (see below).
Sentiment wise I am taking these price action signals as confirmation this is Resistance. This price action sets up a short trade with a stop loss above this morning's high and a target at the 50% of the recent rally to around 4300.
It is well within the character of the market over the last 3 months that it could come back to retest the FOMC levels.
Target at post-earnings SupportFollowing the earnings rally Target stock NYSE:TGT has pulled back to a 50% Retracement and also triggered a Spike Alert which can define the risk on this pullback. I like the trade to play back up to the post-earnings high and beyond for a long term position.
Palantir at Last SupportI have been watching Palantir closely since the February 24, 2022 spike low. NYSE:PLTR was a darling of 2021 but has fallen victim to the "Pandemic Round Trip" like many stocks. The $10 psychological level has so far held with afore mentioned spike and today there was short term price action (see below) above $10 that may confirm a low risk entry.
I have decided to take this trade for the long term with far out January 2024 $30 Strike Calls. If this is a long term bet then I should use my imagination.
Bitcoin Bullish Breakout SetupOvernight there was a volatility quake in all cryptocurrencies that I have yet to explain. What this price action did though is setup a breakout level above the high of that spike. On the swing timeframes (hourlies) this is potentially setting up a trend change inside the recent consolidation. This could be the opportunity to breakout from the range to the upside.
Something weird happened to cryptoMy Spike Alerts just exploded tonight across nearly every major cryptocurrency and exchange. All did spikes to the upside that quickly reversed. Failed pump in low liquidity? Arbitrage algos gone wild? Maybe we'll find out tomorrow....
Long AMD off Inflection and Intraday SetupThis morning several tech stocks including AMD, NVDA, and ETSY which I have on my Spike Alerts setup a short term, 30 minute timeframe, spike right at the 1/24 and 2/24 lows. This sets up an opportunity for a low risk entry for a long term hold on either of these three stocks. AMD NASDAQ:AMD is my pick of the three because I have no current positions. See below for the 30 minute setup...
Bearish Spike on BitcoinThis morning following the recent rally Bitcoin BITFINEX:BTCUSD created a bearish spike at the highs to setup for a short trade.
Would you buy garbage (WM)?Waste Management NYSE:WM is one of my favorite stocks because I was once asked, when I said I was a professional technical trader, "if the price of garbage was going up, you would buy it?" To which I replied, "yes, I own Waste Management"
This morning I received a volatility spike alert which is happening at a major 50% Retracement.
Added to my position that began back in March of 2020 when the world was ending.
Litecoin at Support with breakout short signalLitecoin COINBASE:LTCUSD pegged the 108.82 support level which it has consolidated above for a few days. This snap back off the level shows confirmation that it is a support but also sets up a clear breakdown entry level. With crypto having a bearish few days and the Bitcoin short being live the sentiment is bearish. Breaking this level would trigger a short opportunity.
Trading Patterns That Repeat (Video)I wanted to make a companion explanation video for my idea that I just posted comparing the Daily Stock Market Indexes to the 30 minute timeframe on Waste Management. Both are setting up the same pattern across different instruments and timeframes.
Trading Patterns That RepeatLast week's price action of the stock market gave a textbook example of one of my favorite and fundamental trading patterns; that of the false breakout reversal.
On the longer term Daily timeframe both the Nasdaq and S&P 500 setup this pattern with the February 24, 2022 spike to break but then recapture the January 24, 2022 low.
We do not have to wait to see how this might play out. My trade on Waste Management NYSE:WM was based on this exact pattern and as of today it has reached the 3-to-1 target. It is fascinating and very profitable to accept and recognize that these patterns can and do appear on all timeframes and on all instruments.
Buy the Dip? The stock market just did THIS!One of my must trusted signals for false breakout opportunities just triggered in the stock market on both the Nasdaq NASDAQ:QQQ and S$P 500 AMEX:SPY . If you are a regular viewer of my content you have seen me talk about this setup before as it is one of my most trusted fundamental strategies of my trading. Win or lose THIS signal we got on the Russia/Ukraine FUD is going to go down as a textbook example I will use to teach the setup for months and years to come! I am super excited to share with my viewers in real time!
Nasdaq Daily SpikeThe stock market indexes last week on the Thursday rip setup a bullish spike false breakout. I expect the intraday price action to slow down as we move out of the volatile days of January-February and the Daily setup should dominate. Over the next weeks I expect a rise to retest the All Time High. I would change this opinion with a break of last Thursday (2/24/2022) low.
Royal Caribbean Cruise (RCL) Spike at 50%Today at the open MANY stocks in the S&P 500 did early trading spikes before recovering their trading range. NYSE:RCL happened to do this at a 50% Retracement Level Support.
Garmin Earnings SpikeGarmin NYSE:GRMN had earnings today and the price action on the swing timeframes broke the past weeks' lows to recover back inside the range. This setup is happening right on the 50% Retracement of the COVID low to All Time High along with an Ichimoku Cloud Pullback on the Weekly timeframe. Options spreads are wide so this trade will be best expressed with shares.
Bitcoin Spiking at Key LevelI just got an alert that BITFINEX:BTCUSD had a Spike Alert at a key level following a weekend of consolidation. Price is testing the Liquidation Low of December and trying to break higher following the recent rally. This creates a clear range that Bitcoin will likely break out of to the upside or downside. I am still trading Bitcoin as it is in a bearish trend since October.
The ONE price action trick you NEED to know!I want to show traders examples of a powerful phenomenon for trading price action. This quick price action happens on earnings, major news events, and other catalysts. It happens on stocks, cryptocurrency, futures, and anything that trades! This involves some candlestick analysis but is incredibly simple. Traders can use this to spot reversals and be contrarian to what the market may think right before they are wrong. This can also prevent you as a trader from taking big losses if you react quickly to this warning sign!
We look at 4 examples in this video:
-Amazon NASDAQ:AMZN earnings
-Facebook NASDAQ:FB earnings
-Bitcoin INDEX:BTCUSD
-S&P 500 Index Futures from FOMC meeting CME_MINI:ES1!
Everything that trades will have this happen. Once you see it you will not forget it!
Has Robinhood (HOOD) Stock made a bottom?Maybe. Robinhood stock (HOOD) could have setup a bottom on the last earnings. The stock has been rallying today but the foundation for why this could be a bottom still presents a good reward risk trade. In this video I talk about the potential trading setup, why I like the potential, where it goes wrong and you need to stop out, and use HOOD as a teachable moment for why bagholding is a terrible strategy. "The stock can't go lower..." ranks among the most deadly sayings in trading and investing!
Bitcoin long trade breaking downOn January 10th I noted a price action Spike Alert around the December 3rd Liquidation Low. I saw this as a bullish signal as price was respecting that low with buyers coming in. In the days that have followed price action had a chance to reverse the bearish trend but as of this morning seems to be stalling out. The "bullish trade" is close to breakeven and on the trading timeframe (2h/4h) is setting up a bearish Ichimoku cloud breakout. This breakout could retest and break the January 10th low. I would not want to be long anymore.
