Price, Price Spread, Lagged Price/Volume Spread, and Binary Price/Volume Indicator
Price and Total Volume With 50-period Moving Volume Average
Fibonacci Price Scale With Targets
The world economics, central banking and world events situation has not changed at all over the weekend. The situation seems the same. The EU’s largest economy, Germany, is stagnating. The neo-con acolytes of the American Uniparty are still trying to fund the very people their fathers and grandfathers fought against in World War II, depleting their own armaments and military resources and China prepares for war with Taiwan. Inflation on the ground in the USA, particularly in food and energy, are still elevated. Despite all that, the sun still rises daily and the weather is warm in most places for summer.
We will not begin to collect any serious economic data until Thursday, when PCE data hits the newswires. Until then, we will just have to see how markets react.
Let’s look at the charts.
Volume was relatively light and a bit chaotic as it seems a temporary bottom in MNQU23 could have been put in around 14983.50 as the contract struggles to pull back up from last week’s selloffs. If MNQU23 can remain above the 15042 VWAP line and rally above the 15105.50 VWAP line, it can probably take out the 15149.25 and perhaps rally to 15194.50 and 15251.75 by Wednesday. If not, MNQU23 likely corrects back to 15046.75 or 15007 to 14999. Failing that, the swing low at 14983.50 could get taken out, and new lows of 14938.50 and 14881 by Wednesday. We might see light volume until Thursday, but we seem to be drifting between VWAP line control points, so anything is possible.
I got bounced twice and had a net 27 NQ point loss per contract going long. Both trades were legitimate trade plan entries, but I had to pull them before the stops hit as countertrend bursts of volume would have impaled both of them against stops. I still credit the new entry methods (something I will discuss later in the “Setting Up The Trade” series) for preventing a deeper loss. One I hit the two trades, I stopped for the day to work on other business. You don’t win every day, which is why loss mitigation through trade management is so important.
I hope you have a wonderful Tuesday. Go have fun, make money, and make progress on whatever you are trying to accomplish.
Today’s Economic Data Courtesy of Trading Economics dot com. Be sure to refresh the date at the top left.
