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 word “fall” took on more of a gravitational meaning than a seasonal meeting in MNQZ23 and other equity related markets when Philly Fed Manufacturing data turned more sickly than many traders, hedgers and institutional investors estimated. People like Bill Ackman think that more pain is ahead for rates as Ackman remains short the bond market. Larry Sommers, former U.S. Treasury Secretary, also believes the Fed is too optimistic about a “soft landing” and could face more rate hikes to stamp out inflation.
The folks at Game of Trades noticed that news stories about “soft landings” has spiked to 2008 levels, which is probably a rather negative indication that a soft landing is near. Consumer credit card loan defaults are also at levels above the Great Recession.
I may discuss this over the weekend, but I will likely focus on issues of volume as promised, as that affected my trading yesterday as I adjust to new and somewhat less risky entry strategies (in terms of stop-outs).
Let’s go to the charts.
If MNQZ23 can rally above the 14949.50 VWAP line, it really does have a decent shot at rallying back to 15050 and back to 15045.25 and 15102.25 by Monday.
If not, market sentiment could continue to push thing lower, and the forecast, given the lack of commercial holdings below 14949.50, could bring the same forecast for the markets as Clubber Lane had for Rocky Balboa in Rocky III. It could be a very short trip back through 14835.75 and possibly back to 14791 or even 14934 by Monday. No one knows what will happen, but as has been the case MNQZ23 could punch back against bearishness like Rocky did against Ivan Drago, even if it has to “hit the one in the middle”.
I got a minor bounce going short yesterday morning and at a 10 NQ point loss, when with time, I could have shorted again for nice gain on the short side. Sadly, I had appointments I had to make and could not reenter short.
I will saddle up again to see how things go today. I will write on volume first this weekend, and as I have time, on other economic topics related to MNQZ23 and the American economy in general.
That is it for now. Have a profitable Friday and a relaxing weekend!
Today’s Economic Data Courtesy of Trading Economics dot com. Be sure to refresh the date at the top left.
