paypal is headed here. thats your short level. it has to backtest the line. what other resistance is there at ath's? the reason you cant find a good trend line is because you are reading the chart wrong and looking in the wong place. you are looking below price. try looking above... its possible it puts in a top short of that line, and then a divergent top...
fwiw. a fib level, a pivot top TL. overbought, distance from 20 dma, earnings exhaustion divergence daily. looking at a 4 hr chart here to try to get a clue where stochastic and rsi will top. daily indicators move too slow to do this. imo 440 might roll over. if so, it may find support at the second purple line. that line should tag the wick tail of todays...
price is just toggling between support and resistance until one is broken. possible triple top coming. the purple line has been adjusted lower for the last two days of trading to find yesterdays top. its alternate location would be to raise it to price action tags, from above the line, in the last one month. this makes the line steeper and higher.
not really following this too much but this is how you read divergence in rsi and stochastic. purple lines. text book fade. higher price, lower strength. learn it.
think monthly inflows. maybe too early for earnings hangover. i could see es stair stepping up thru the blue lines to challenge the local double top at 3280ish purple lines. then a move down perhaps from there. follow the hourly stochastic. look at how well it has predicted turns. price building an upward channel now. however, a couple more hits on 3200 and...
divergence has crept in to at least the 2 hour and 3 hour charts, not so much 4 hr. on es only. look for a pull back. logical support line shown but will this retrace 50% or more? all charts aapl, fb, amzn, googl are fairly divergent daily with the moves after hours. divergence has not mattered much since the fed bbbbrrrrrrrrr.
i dont believe the fomc will affect markets greatly wednesday, nor earnings. i think the market is waiting for the stimulus package to be approved by house and senate. that it was not has devolved the anticipation ramp and now the market is pouting. if things get worse in congress the market may have a hissy fit and the lower line comes into play again. nq's...
i will continue to insist that trading levels can be found using simple lines on the chart.
was that it? death by doji now and stimulus hopes for next week. backtest the orange line? rsi and stochastic look done on 4 hour.
prior post noted 3280 as a target based on the 4 hour stochastic. you can see how that played out. now the reverse condition. the long term orange trend line may now get seriously challenged and broken. i'm watching rsi 50 levels on charts to see if they give way. if the orange line finally breaks, first stop is the purple line and i would think the second...
moving the line to the top of the candle in march it was a perfect tag at 3273. the market always provides several locations to put the line. its always vague.
3 good lines in the 4 hr chart. note the stochastic blue arrow could indicate that there could be more upside coming before this small cycle is complete (2 days?). the black line has no further significant pivots on it, but i think its a biggie anyway. i could see price struggling to climb to the black line, 3280ish. then the stochastic cycle may turn down. ...
every compression triangle in this recovery has played out. indexes near stochastic tops, looking weak. one last hurrah? failed break out? or another bull run to 3250? i cant call it. consolidation of last couple of days should be weak if this is compression. es has not given back beyond the 3193 and 3176 i called for 2 days ago. fridays are usually...