We look for accumulation of a move like that, the large volume the move creates as technical levels are broken and stop or short orders are triggered creates a lot of supply that can be accumulated in bulk as someone has to take the other side of the trade (without arousing suspicions) and of course it's a much better price and clears out weak hands-like dead leaves.
So here are a few charts already starting to catch up to the move and put in divergences...
DIA 1 min, the white line is supposed to represent the triangle area, the brea happened exactly at 2:30 EDT. Although the DIA has been in leading positive position all day, to the far right this is the first leading positive divergence that is specific to this break below support levels.
If we zoomed the DIA 1 min chart in very closely to reflect intraday activity, not just the overall leading divergence, you can see the negative divergence intraday that sent it lower as price was at the exact same level at both ends of the red arrow (a relative divergence) and then you see the leading positive take off.
That's a pretty strong move in the 1 min, it has started to migrate over to the 2 min chart and that has turned up.
ES has had a positive going all day, it led even higher at the move down.
QQQ 1 min leading higher.
A zoomed view of the chart shows the leading positive divergence right at the break lower below intraday support of the lows.
No comments:
Post a Comment