It Really Is, A Crash

ASML down -21.8%, in just two days; the biggest downdraft in a quarter century.

A ‘premature’ earnings release was given as the excuse; like waiting one day longer was going to make the news better.

The important part, Wyckoff analysis techniques picked up on the SOXX index and highlighted ‘something’s up’.

Wyckoff Clues Ahead-of-Time

There was an aberration in volume (here), initially thought to be exhaustion.

Turns out, that concentrated volume was (potentially) preparation for the attempted breakout, link here.

Either way, the anomaly was identified and noted; resulting action was to position short; trade SOXS-24-18 (not advice, not a recommendation).

Market Stunned

Yesterday’s downdraft in the SOXX, was a -5%, loss.

Today, so far, shows a tight trading range in an attempt to test higher (as described here).

At this point, significantly higher, is not happening (not advice, not a recommendation).

Stay Tuned

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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