S / R Levels Nov 11 - 15
The market bounced despite of bearish setups in the daily and weekly timeframes - This golden tool confirmed the bullish reversal before the post-elections rally!
Technical analysis provides probabilistic insights based on price action and indicators. Anyway, markets can be volatile, and reversals can occur before than expected. This week, the central weekly level I shared last Friday was reclaimed by Tuesday afternoon, emphasizing the need to remain agile and adapt to changing bullish market conditions.
What I liked the most about this week and the bullish recover of the key level under bearish conditions is that it was mentioned in the community chat by a subscriber; that was so good to see, and my quick update that day was “the rule is the rule” when talking about a potential bullish continuation. When you have rules in trading you don’t think, you execute.
$5,760 for SPX, $490 for QQQ, $220 for IWM and many more levels anticipated a bullish mode since Tuesday 1:30PM New York time, which is the moment when the four hours candle is closed.
S&P 500, Nasdaq 100 and Bitcoin to the moon?
Well, not quite so, the rally jumped above the Bollinger band for all the indexes and key monthly and annual levels are about to be reached, so a consolidation is more than likely.
If in doubt, see the daily chart for the Volatility Index, the latest candle is a doji below the band and the oscillator is oversold, a bounce in the VIX is very likely for the very short term.
We'll delve deeper into this tomorrow in the Weekly Compass with more charts and telling their stories with the S/R levels. If you still have questions after analyzing the VIX chart, take a look at TLT. Bonds are rebounding, and often move inversely to stocks.
The weekly and monthly support and resistance levels include the well mentioned central level, and other six layers, three for support, three for resistance. The securities analyzed are: SPX, NDX, DJI, IWM, SPY, QQQ, TLT, ES=F, NQ=F, NVDA, META, TSLA, AMZN, MSFT, GOOG, AAPL, GDX, SILVER, Bitcoin, and Ethereum.
If you trade any of those securities subscribe now to continue, this is the best moment to do so!