Higher or Lower?
ON Semiconductor, is scheduled to report after-hours on Monday, link here.
If the overall sector (SOXX) is still continuing an upside squeeze, then ON could break higher on the earnings (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
The Resistance Wall
It’s either good or bad, depending on one’s perspective.
Since, at this juncture, we’re looking primarily for short-side opportunities, it’s a good thing.
Upside risk is being reduced (not advice, not a recommendation).
The chart below, shows a familiar pattern emerging.
Microsoft MSFT, Daily
Price action from the recent lows is loosely following a Fibonacci sequence.
If that correlation holds, the next count is Day 34, August 12th, a Wednesday, release of CPI as the main event (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Same As ADP
Both PAYX and ADP (yesterday), spiked above resistance on the same day, then reversed.
They’re moving in unison; today was a ‘test’ for both.
Tests can last one day or many. They can pass or fail. Anything can happen.
From a technical perspective, PAYX, is the weaker of the two, having retraced to the 50% level, not higher to 61.8%, as ADP (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Checking All Three
Yesterday, ADP spiked higher on earnings, to fill a gap from October 29th, 2025.
It settled a little lower, closing the day at exactly the 61.8% retrace shown.
Today was at a gap open lower, then lower close to effectively post a reversal (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Long Term Top?
At this juncture, CDNS, is posting within a downward trading channel (not advice, not a recommendation).
Near the end of the session, price action penetrated the prior session low.
So, we should all know what that means. 🙂
If CDNS is going to stay within the channel (a big ‘if’), tomorrow might see an upward attempt in a Wyckoff ‘spring’, before ultimately returning back to the lows (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Similar to the SOXX?
We just saw what happened to the SOXX when volume increased at support, link here.
From that update:
“Instead of volume contracting on the test (sellers backing away), it has increased (blue arrow).”
Next session, SOXX broke lower and kept on going.
Now, Jabil closed near support; volume increased 43.2% over the prior session.
It’s also possible, price action is posting a trading channel Fibonacci 13-Days wide (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Brief & Perfunctory
Ciena may be in a trading channel.
Note how the centerline is ‘straddling’ price action.
For this channel to remain in-effect, CIEN needs to trade lower (immediately) at the next session (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Strategy, Tactics, Focus
Just over two-years ago, was this post, targeting CORN to bottom-out around the 16-level:
“However, shown on the chart is a potential low at the Fibonacci 76.4%, retrace.”
On June 30th, CORN hit an intraday low of 16.36, before reversing sharply to the upside.
Teucrium CORN, Weekly
As the chart shows, we’re in an apparent Wyckoff ‘spring’ condition; price action rising sharply after penetrating support (not advice, not a recommendation).
What we don’t have, is the ‘test’; there’s no way to say if there will be one.
However, the chart shows this coming week, is Fibonacci Week-5, from the lows.
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
AutoZone, and its massive 200-point gap, have been on the ‘watch list’ for some time.
The last major gap of 67.56-pts was filled in a near-Fibonacci 34 (-2) days.
So, we at least know that it can, and has happened before (not advice, not a recommendation).
AutoZone AZO, Daily
Price action’s been hitting and bouncing off support for nearly two months; finally, penetrating and closing below that line, last Thursday.
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
This, Is The Spot
Well, ladies and gentlemen, we’re at the spot where any move, in any direction, may set the stage for what’s to come.
Last Friday, the SOXX penetrated support, then rebounded in the initial stages of a Wyckoff spring.
Today, price action came back to test.
This type of behavior is bullish, suggesting a move higher; however, there’s a problem.
Instead of volume contracting on the test (sellers backing away), it has increased (blue arrow).
For the test to indicate probability of complete, Monday’s open needs to be higher, with a new daily high (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
The Danger Point® 