Mid-Week Update
Off the Means and Everything In Between
Good evening!
This week has so far played out exactly as I had anticipated it would on Sunday. With odds being very ‘in the middle’ per say, we were most likely to stay range-bound and in a digestive state. Since we had NVDA 0.00%↑ earnings upcoming, the idea was we’d most likely end up in a zone-channel which implied higher odds of sustaining 7354-7361 areas. And as a result, neither end has broken yet which is precisely what I had anticipated happening.
This is by far the biggest takeaway from this weekends report:
FINAL TAKEAWAY
This past week triggered our 7511-7521 which can essentially keep odds favourable into month-end, however, no continuation or acceptance above. While we still have risk beneath to the 7320’s, market overall has remained quite persistent on immediately negating downside and respecting calculated ranges on time.
This may turn this week into a more compressed environment with recycled ranges and slower type grind up behaviour. Considering we closed at 7418, the weekly conditions would be reset from last week, with higher odds of re-opening neutral once again due to lower probabilities this week and that offset beneath 7551 last week.
This is quite vital because the market basically reset itself right back into the following:
• median structures
• neutral ranges
• recycled continuation
• slower grind conditions.This essentially puts us in a previous weekly recycled condition to kick off the week.
7418 is actually not really bearish exhaustion considering it was still above 7399-7411, while beneath 7421. Instead, it implies high odds of:
• reset for weekly conditions to re-attempt 7520’s/7550’s or even potentially 7320’s/7350’s.
• recycled ranges
• balance/median structures
• re-testing prior acceptance zones/areas
This is exactly how price action has traded this past week and we saw the most progression today, on the 20 flip date.
First, let’s review what did occur this week and what we can look for to close the week.