Month’s theme: A decline off of a significant high on a multi-day chart.
Behavior around the high: A critical price level is highlighted at the high. There will also be a lull in volatility and volume around the high.
Behavior around the low: Around the low, we have a move higher through a resistance level. We stay above that price level briefly and then break back down. The low is likely within close proximity to a minor crest.
Trade opportunities:
Two opportunities on the 6th. One involves a breakout on a one-day chart, and the other involves a big move to the upside on a one-day chart that reaches for a distant resistance level.
There’s a swing trade opportunity on the 10th.
Around the 25th, there’s a swing trade opportunity involving a big move to the upside.
On the 27th, there’s a swing trade opportunity involving an agreement between two leaders.
On the 31st, there’s a swing trade opportunity in the midst of multiple failed attempts to break through key resistance.
Overview:
Week One (10/3-10/7):
On October 3rd, we likely have the completion of a bullish trend. There appears to be a notable amount of price movement on the 4th and possibly on the 5th. There’s also an intentional fake out or false triggering of an indicator on the 4th. On the 5th, we attempt to establish support, and there’s a crest toward the end of the day. On the 6th, we have a decline through a resistance level, and as we fall we have consecutively lower spikes up on the way down. There are two trade opportunities on the 6th, possibly a day trade opportunity. One involves a breakout on a one-day chart, and the other involves a big move to the upside on a one-day chart that reaches for a distant resistance level. On the 7th, we’ll likely have a first low for the month.
Week Two (10/10-10/14):
On the 10th, we’ll have three local highs, one local low, and a swing trade opportunity. We’ll have a brief high before a notable decline. On the 11th, there’s a prominent move higher that will stand out on a multi-day chart, followed by a full retracement of that move back down. On the 12th, we’ll have a higher high than we did on the 11th. There’s a fast, sudden move to the upside on the 13th. We’ll also see a rally into a month’s high on the 13th after bearish price swings. There will be a lull in volume around that high. We then decline out of the high, increasing with momentum as we move forward. There’s a prominent trough that forms on the 14th.
Week Three (10/17-10/21)
On the 17th, we have a move higher out of oversold territory. We’ll reach a month’s high around that move to the upside. On the 18th, there will likely be a month’s crest. We’ll see three pokes through the same price level followed by a sharp decline. On the 19th, there’s a sharp decline. The high on the 19th offers an opportunity to position oneself in both directions. On the 20th, we have an important support level that forms after a sharp decline. I’m advised to open up protection midday. On the 21st, we’ll see a decline to and through a support level. We move sideways along that support level and then decline further. It looks like we have a pretty sharp decline over the weekend.
Week Four (10/24-10/31)
On the 24th, we’re bound by a range on a multi-day chart. There’s a rally that starts mid-afternoon. On the 25th, there’s a cash out opportunity at the end of the day or early in the morning. There’s also a swing trade opportunity on the 25th involving a big move to the upside. We’ll then see some sideways rotation along a key support level on a multi-day chart followed by a fast, sudden move to the upside that marks the end of that period of sideways rotation. On the 26th, there’s a failed attempt to break through key resistance and an opportunity to position oneself in both directions. There’s also a significant technical price level for the month that’s highlighted around this time. We’ll then see a decline through key resistance followed by a decline through key support. There will likely be another month’s low on the 27th. There’s a trade opportunity on the 27th involving an agreement between two leaders. On the 28th, we have bullish price swings. On the 31st, there’s another swing trade opportunity in the midst of multiple failed attempts to break through key resistance.
Sneak preview:
In November, we’ll see a rally along a diagonal trend line that breaks through horizontal resistance, meets a secondary resistance, and then dips back to somewhere between those two price levels. We’ll likely decline into November before we turn back around.