Always Pay Special Attention to the Areas of Major Resistance
In a previous post of mine from last week I mentioned how you should pay special attention to the major areas of resistance. Typically on an uptrend you will find sellers stepping in at major resistance levels. You'll also find investors covering their long position at major resistance levels during an uptrend. Today appears to be one of those days so far.
Last year was the year of inflation. During last year inflation was way too high and it was really hurting equities. So last year we needed to see inflation coming down to have some dovishness for equities. So last year bad news on economic data was good news for equities.
Last year was the year of inflation. During last year inflation was way too high and it was really hurting equities. So last year we needed to see inflation coming down to have some dovishness for equities. So last year bad news on economic data was good news for equities.
SpyderCall :From The Year of Inflation to The Year of Disinflation
https://www.moomoo.com/community/feed/109640612577285?data_ticket=503374bcb16985dbcf5d859821fc6dab&futusource=nnq_personal_host
Inflation is obviously coming down at this point. So this year is the year of disinflation. Disinflation is very bad for an economy. It is the last thing you want to see. But we need inflation to come down. It is indeed coming down and it is affecting the economic data like we saw today. There was very bad economic data on all data points. The market initially reacted positively to the slowdown in economic activity. But the narrative in the media is that the bad news was too bad today. And that is the reason for this sell-off in equities.
https://www.moomoo.com/community/feed/109640612577285?data_ticket=503374bcb16985dbcf5d859821fc6dab&futusource=nnq_personal_host
Inflation is obviously coming down at this point. So this year is the year of disinflation. Disinflation is very bad for an economy. It is the last thing you want to see. But we need inflation to come down. It is indeed coming down and it is affecting the economic data like we saw today. There was very bad economic data on all data points. The market initially reacted positively to the slowdown in economic activity. But the narrative in the media is that the bad news was too bad today. And that is the reason for this sell-off in equities.
This corresponds with exactly what I had mentioned in another previous post where I explained that bad news is good news until it's too bad. That is the narrative for this year. And it is playing out as we speak after the economic data was released today.
As for the technical picture you can see that this release of hawkish economic data perfectly corresponded with a breakdown of this ascending wedge pattern near major resistance levels. Technically speaking this is short-term bearish.
As for the technical picture you can see that this release of hawkish economic data perfectly corresponded with a breakdown of this ascending wedge pattern near major resistance levels. Technically speaking this is short-term bearish.
If you still have faith in the uptrend that started at the beginning of this year then I have mapped out a few support levels to watch for a potential bounce in price action. You can see these support zones in the graph below.
Personally I think this is just a minor correction before the uptrend continues. So I am still bullish during this correction. I believe we need more increasingly hawkish data before we can have a true downtrend. But I'm not always right so I just follow the trends. And I am covering my long position at the moment because of the breakdown of the short-term ascending wedge pattern near long-term resistance levels such as the 200-day moving average and the long-term downward trending bear market resistance. And the long-term trend is down so technically I should be looking for short positions.
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$TENCENT(00700.HK$ $SSE Composite Index(000001.SH$ $CSI 300 Index(000300.SH$ $CSI 300 Index(000300.SH$ $FTSE Singapore Straits Time Index(.STI.SG$ $NIO-SW(09866.HK$ $NIO Inc. USD OV(NIO.SG$ $NIO Inc(NIO.US$ $BILIBILI-SW(09626.HK$ $Bilibili(BILI.US$ $Baidu(BIDU.US$ $BIDU-SW(09888.HK$ $XPeng(XPEV.US$ $Li Auto(LI.US$ $BYD COMPANY(01211.HK$ $BYD Company Limited(002594.SZ$ $S&P/ASX 200(.XJO.AU$ $FTSE Singapore Straits Time Index(.STI.SG$
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$Bitcoin(BTC.CC$ $Ethereum(ETH.CC$ $ETC(ETC.CC$ $Yearn.finance(YFI.CC$ $Terra(LUNA.CC$ $Litecoin(LTC.CC$ $Stellar(XLM.CC$ $Cardano(ADA.CC$ $Bitcoin SV(BSV.CC$ $Bitcoin Cash(BCH.CC$ $Compound(COMP.CC$ $Polygon(MATIC.CC$ $Dogecoin(DOGE.CC$ $Metaverse ETP (ETP.CC)$ $Verge(XVG.CC$ $Orchid(OXT.CC$ $OMG Network(OMG.CC$ $0x(ZRX.CC$ $Qtum(QTUM.CC$ $NEO(NEO.CC$ $Dash(DASH.CC$ $Theta Token(THETA.CC$ $Tezos(XTZ.CC$ $ZEC(ZEC.CC$ $Maker(MKR.CC$ $Decentraland(MANA.CC$ $Cosmos(ATOM.CC$ $ChainLink(LINK.CC$ $Monero(XMR.CC$ $TRON(TRX.CC$ $Polkadot(DOT.CC$ $XRP(XRP.CC$ $Binance Coin(BNB.CC$ $Bitcoin Gold(BTG.CC$ $Uniswap(UNI.CC$
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RDK79 : Sold some at .40, may add back around low .20s.
102640653 : Still looking at Alibaba for further rise to hkd 135 to 185 upper level . Have been waiting patiently. Same accumulating more warrants like I told u before .
102640653 : Looks like Tencent n Alibaba to move up much more this year
102640653 : If u r free can u help me look at detail setup n technical setup for Alibaba . Thanks my friends . Another one more of concern is Tencent . Both r linked to hangseng index . Thanks sir
102640653 : I guessing it will rise
codygmoney : lol hyper inflation this year, the entire economy of Japan is collapsing and they are making runs on banks, crypto exchanges cut off access to crypto in Japan, Australia, Canada, germany,the United kingtom,France, and the United States are next. been calling this shit for 4 years.
SpyderCallOP codygmoney: did they really cut off access to crypto exchangea?!?!
SpyderCallOP 102640653: i was hoped that you were still holding. it has been a long time. Hopefully your patience will pay off
SpyderCallOP 102640653: I will put together some analysis for Baba and tencent. I will tag you im it when i am done
solo invest : You called this one. Well done
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