Saturday Review’s recording (for 4/7/18) …Volatility, distractions, and Bitcoin.
Last week’s volatility wasn’t isolated to intraday action, as it included at least two sizable overnight plunges. The same could be said for the drop coming out of January’s highs. One difference is that last week’s volatility all developed within an established range, while the previous occasion trended down. At first, the difference is surprising, especially having experienced it first hand. But then it is glaring — and it is glaringly different from the tariff war headlines and mainstream media concerns.
Volatile trending and volatile ranging. Does the difference between them mean different resolutions? Not necessarily. Those characteristics really speak more to timing and paths, and less to ultimate direction. Similar to trending having paused, traders’ curiosity at this week’s Facebook vs. Congress hearings could put volatility on pause, too. In this weekend’s Saturday Review, we discuss the market’s possible paths and their likely resolutions, detailing the elements that suggest either.
Bitcoin: We didn’t get to this chart, which I think is timely. My $6,600 support has been thoroughly tested. One potential consolidation it supported had broken yesterday to probe a slightly lower low. Now that break is being retraced back up to the consolidation’s $6.900 upper-end. More important, the retracement was done by surging, symmetrical to the break lower. So long as fresh lows are avoided, this pattern suggests that a bottom is forming, at least for a sizable correction back up to $8,400.
Following are three videos I produced showing specific setups that had guided us in anticipating a specific resolution this week. (Originally published in the Roadmap blog):
– Reaction limit examples –
– Noon hour reaction limit head-fake –
– Overnight pattern (Triangle false break) into intraday –
The following stock requests were reviewed in this order:
WB, BIDU, MU, AMZN, NVDA, TSLA, BA, CAT, FB, ARNA
transcript
—————– (04/07/2018 09:32) —————–
Bill G: gm
—————– (04/07/2018 09:33) —————–
Bill G: good
—————– (04/07/2018 10:00) —————–
ljr: stocks: WB, BIDU, Nvda, TSLA. I’ll watch recording. thx
—————– (04/07/2018 10:02) —————–
David B: MU,AMZN
—————– (04/07/2018 10:18) —————–
David B: BA,CAT
—————– (04/07/2018 10:39) —————–
ljr: question about timing Windows:
ljr: breaks higher or lower
David B: Thanks
ljr: during them are valid?
ljr: one more sentance
ljr: but what about tries outside of those windows
ljr: sorry typing on a phone
ljr: ie a break at 11:15-12
ljr: ah. mIntaine d at end of window.
ljr: got it
ljr: thx
Bill G: Thanks