‘Stay in Your Lane’

As interest rates rachet higher, the squeeze is being put on operations that are rate dependent; real estate and auto loans to name just two (not advice, not a recommendation).

Tomorrow’s price action in CarMax, is likely to confirm the trend (shown below) or negate.

Note: We could also have a trading channel.

CarMax KMX, Daily

If KMX, is in the channel, we’re at the far-right end of the ‘supply side’.

It’s important to note, price action is also (just) below well-established support at the 73.50-area.

From a technical standpoint, that puts KMX, in Wyckoff ‘spring’ position.

The expectation is for the spring set-up to fail (not advice, not a recommendation).

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279