WMT Follow Up

This is a follow up for stops, but it could also be used to initiate new positions or add to existing ones.

 Here's WMT hanging on around that upper trend line of the bear flag, I don't have any evidence that WMT will attempt a shakeout except experience, nothing is as easy as they make it out to be in Technical Analysis anymore. At the red arrow we saw a move inside the flag that turned in to a quick shakeout. My experience has been, whenever an important level is broken (technical analysis dogma teaches you to short it and it should immediately fall), there's a lot of volatility and shakeouts around that level, so as I said, I don't see evidence of a shakeout coming, I would just expect one based on how the market trades.

 I suspect the daily Trend Channel would hold a shakeout on a closing basis, but there's the off chance a shakeout makes a new local high before heading back down. I would probably stick with the Trend Channel on a closing basis and if there's a move above it on a closing basis, I'd look at the move more carefully and judge from there. The nice thing about the WMT short here is the risk is fairly low as a natural stop is in the area just above the recent highs.

The longer term charts which are the most influential for the trend (ignoring noise like shaek-outs and such) looks very bad for WMT.