Clues For Entry, Clues For Exit
The last time weekly down-thrust energy (Force-Index) was this deep, GDXJ price action ratcheted lower for 16-weeks before a significant reversal.
That reversal took place at support where GDXJ, is now. However, back then (week of October 1st), contact with support was on weakening Force-Index; this time, it’s increasing.
It’s reasonable to expect an attempt to rally in the coming week … but with this much down force, a successful rally is not the high-probability outcome.
One possible clue for exit of short position, JDST-22-01, is to look for continued downside action but with divergent (lessening) thrust energy; not advice, not a recommendation.
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