Massive Channel
As reported by Ox Talks, link here, Oracle’s corporate bonds are about one tick above ‘junk’ status, Time Stamp: 13:00 (not advice, not a recommendation).
Stay Tuned
Charts by StockCharts, TC2000
The Danger Point®, trade mark: No. 6,505,279
‘Ending Moves’
Back in the day, Jesse Livermore nearly went bust attempting to short the downside of what became, The Panic of 1907.
Stopped out time and again, he finally (according to Wyckoff) hawked his car to rase capital.
Form nearly broke, to closing out short trades on October 24th 1907, net profit over $1-milllion.
With that, we have a strategic picture, in focus.
During a recent interview, Ed Dowd discussed the +35.95% gap (and close) on Oracle, as a result of ‘projections‘.
The take-away (from him) was these types of moves are ‘ending moves’, not the beginning of a new bull run.
Since then, price action has fully retraced.
ORCL, is currently down a whopping -41.6%, from its all-time highs. Hardly a bull market.
We’ve presented eBay in a similar position.
Carvana, launched itself above resistance at Friday’s close. In so doing, got itself into another wedge.
Now we have Expedia, looking eerily similar (not advice, not a recommendation).
Like eBay, we’ll start with the long term, quarterly chart.
Expedia EXPE, Quarterly
The latest earnings release pushed EXPE up, contacting the upper trendline.
A gap higher and close of +17.55%, in one day.
EXPE has since backed off the all-time high; currently down about -8.5%.
Edge of The Wedge
The following is a partial list of tickers either forming a (monthly) terminating wedge, or have broken out to the downside (not advice, not a recommendation)
APP, CARR, CDNS, CVNA, EBAY, EXPE, NFLX, NVDA, SPOT, TEL, UBER
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
Next Leg Lower
Unfortunately, the (mad scientist) graphic at left, is not too far removed from what’s really going on in biotech.
While the S&P, Nasdaq Qs, Gold Miners, Semiconductors, Financials, The HOOD, ORCL, and others, continue to make all-time highs, conspicuously absent is biotech, XBI and IBB.
Now, it appears that quietly, in the background, XBI is reversing to the downside.
Biotech XBI, Daily Close
The up-thrust is there, but is a weak penetration of resistance.
Even so, on the ‘test’, volume contracted by -49.24%, when compared to volume on the upside penetration.
Until proven otherwise, this set-up appears to (currently) be the best short opportunity.
With that said, all other short positions have been closed to focus on biotech.
Leveraged inverse fund LABD is being used at this juncture: Trade LABD-25-10, with stop at the session low (not advice, not a reocmmendiaton).
Stay Tuned
Charts by StockCharts
The Danger Point®, trade mark: No. 6,505,279
