While Delays Mount
While Ox Talks reports on mounting delays in the A.I. ‘narrative’, link here, chief cook and bottle washer Nvidia, appears ready to breakdown out of a wedge (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
Back in The Trend?
Aflac, then and now.
Back then, was this:
“Is the trade over or are we just in a pause and looking for the right side trendline.“
From comments at this link, we have this (emphasis added):
“I did not label the chart on AFL but today was a penetration of support with a return (sort of) into the range.
That puts AFL in ‘spring’ position, and it would be ‘normal’ market behavior to attempt some kind of upside move.“
Fast forward, to now.
AFL moved higher in a minor ‘spring’ for two days, then reversed (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
IBB, Below Support
Amgen was whacked for a -10.08% loss during today’s session.
Biotech IBB, XBI, followed suit; down -2.17% and -1.15%, respectively.
Both indexes retraced during the day; it was noted XBI’s retrace was 50%, while IBB’s retrace as 38%.
Therefore, the trading response was to close short-trade XBI-26-10 (for profit), re-establish that short via IBB, as IBB-26-05 (not advice, not a recommendation).
Note in the chart above, the last time IBB pushed below support, it was in spring position and moved higher the next three sessions.
Markets tend to alternate.
Let’s see what happens next.
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
New, All-Time Highs?
If gold miners, GDX, GDXJ, make it to new all-time highs, what happens then?
The chart below, shows we’re already at a resistance area. If there’s a reversal from here, then, what then?
What about the usual suspects out with prognostications of $50,000/oz. gold?
Then, there’s the food supply connection to precious metals.
Now, on to the chart.
Junior Miners GDXJ, Daily
Not shown on the chart, is the most recent low in mid-July, forming a ‘spring’ set-up.
If GDXJ pushes to new all-time highs, then we have the ‘up-thrust’ part of the set-up (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
Right Way … Wrong Way
Potential false upside breakout moves from a down-channel, have happened before.
Once such occurrence, was here.
Let’s see if the trendline was drawn correctly, or not.
The segment is a closer view of where TSLA left-off last Friday.
If it’s in the channel, watch for a lower open and acceleration lower (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
The Most, Ever
The effect of Moderna’s single day +176.97% move, can be directly seen in biotech XBI gaining +5.90%, the same day.
Since then, it’s been just over two-weeks and already, Wall St. has ‘cooled‘ to Moderna.
You can’t make this up. 🙂
With that said, and from a market behavior standpoint alone, wide high-volume price bars, tend to be tested (not advice, not a recommendation).
Moderna MRNA, Weekly
With MRNA slamming into resistance, highest volume, widest bar, ever, sort of says ‘Ruh Roh‘.
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
Documenting The Trade
Yesterday’s trade was a stretch to go short on biotech XBI, without (confirmation) posting a new daily low (yet),
Today, the new daily low … just barely.
What that does from a trading standpoint, is provide a definitive stop; yesterday’s high (not advice, not a recommendation).
From the chart, we’re at the edge of congestion with price action struggling to make new highs … that so far, are not happening.
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
Is The Top, In?
Whether it’s Biotech XBI, Airbnb, CarMax or Carvana, trade set-ups are being worked that take place at the ‘edge of congestion.’
The last update on XBI, was here, August 24th, nine trading days ago.
The short, LABD-26-10 was immediately stopped out at the next session.
The index labored on, grinding in a range while posting a bearish MACD divergence on daily and weekly.
All of which, brings us to now.
The chart shows today’s action could not close above the resistance area posted back in July (not advice, not a recommendation).
There’s been no new daily low (yet).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Volume Contracts
In the early after-hours session (7:25 p.m., EST), the SOXX continues to hover at the right side down-trend line.
It’s been a steady, almost imperceptible grind lower over the past five sessions.
However, that right side line is declining at around -95%, annualized (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Is The Trend Over?
The daily segment at left, shows AFL has broken out of a trading channel … or more like drifted out of the channel.
The question then:
Is the trade over or are we just in a pause and looking for the right side trendline (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
The Danger Point® 