Month’s Theme: Mixed behavior that’s overall bullish and a sideways-fluctuating rally that precedes a decline. That’s crossed with an S-formation within a channel.
Behavior Around the High: A crest revisited in the midst of behavior back and forth through the same price level.
Behavior Around the Low: Not specified.
Exclusive Trade Opportunities for Subscribers:
An opportunity to open a long position for a day trade in the midst of a drop on the 1st.
An opportunity to open a short position for a day trade after moving through resistance on the 3rd.
An opportunity to open a long position on the 19th after a sharp drop.
A rally to the upside on the 23rd offers an opportunity to open a short position for a day trade.
Overview
On the 1st, there’s a drop that offers an opportunity to open a long position for a day trade. There’s both a prominent crest and a prominent peak. There’s a lot of ground covered in the midst of a decline. On the 2nd, there’s a notable fake out/shake out and a move to the upside toward the end of the day. We’ll most likely have a lowest low either on the 2nd or the 3rd. On the 3rd, there’s a move higher through resistance, we’ll stay above it briefly, and then break back down shortly thereafter. There’s an opportunity to open a short position for a day trade when we move higher through resistance. On the 4th, I’m advised to be cautious due to tricky chart behavior. On the 5th, we’ll decline through multiple support levels pretty early. There’s a trade opportunity to open a short position on the 5th and close it on the cusp of the 5th/6th. On the 6th, there’s a notable move higher followed by a move back down through the same price level. You could open a long position after moving back down.
On the 8th, there’s a period of volatility that ends with a fast, sudden move higher out of a trough on the cusp of the 8th/9th. That takes us through the 9th into a peak or crest. We’ll sell off from that peak or crest pretty notably on the 10th. The highest high is around the 10th/11th. There’s a lot of price change on the 11th where you could probably play both sides of the market. On the 12th, we’ll bump up along resistance pretty notably and then have a sharp move to the downside. That move to the downside continues on the 13th. On the 14th, there’s an unexpected opportunity. We’ll have a move to the upside where we’ll fail to break through resistance and fall down through support.
On the 15th, there’s a pop and drop. On the 16th, we’ll likely revisit a lowest low. On the 17th, we’ll have a breakout on a multi-day scale. On the 18th, there’s a crest or peak that forms midday and we’ll have a pretty sharp decline off of that. On the 19th we’ll revisit a support level that was recently a passed opportunity and then have sideways rotation before a sharp drop. There’s an opportunity to open a long position after that drop. Out of a decline on the 21st there’s a move from the bottom of a range to the top of a range. There’s a peak or crest that will stand out around the 21st/22nd. You could close a long position at that peak or crest.
We’ll see more of a move to the upside on the 22nd and the establishment of support. There’s a rally along a diagonal trend line on the 23rd that ends with a fast, sudden move higher offering an opportunity to open a short position for a day trade. We’ll then have a breakdown through that diagonal trend line taking us into the 24th. On the 24th, we have a trough at the end of the day and a lot of ground covered to the upside. On the 25th, there’s an opportunity to open a long position. There’s a big decline on the 26th to revisit a support level that we met once before. There’s more decline on the 27th and then a big move to the upside on the 28th with a breakout into a crest or peak. There’s more movement to the upside and another highest high on the 29th. On the 30th, there’s a brief peak that’s easily missed followed by a decline through multiple support levels.
Sneak Preview
In December there’s an important and unexpected move to the upside that takes place.