February 21

Discord access link: https://discord.gg/UPbu6PZFDp

With this morning’s liquidation break sellers were able to fill all of last Thursday’s single prints. The profile has all of the characteristics of a “b shaped” profile which usually means that the move was driven by long liquidation. Liquidation breaks can strengthen the market since they take out potential sellers while the lower prices can attract new buyers. As short term traders the only thing we can do is monitor for continuation.

• In terms of value, today’s value migrated completely below yesterday’s value area. Above us we have a “3-Day Balance’; for buyers it’s all about keeping us above the 6130 BZ level in order to trigger a “3-Day Balance Area breakout failure” which will take us back to 6145.

• For sellers, it’s all about accelerating below the 6100 psychological level, something they failed to do today.

Bullish Scenarios:

• Longs above 6130 targeting 6145.

• Longs above 6145 targeting 6174.

Bearish Scenarios:

• Shorts below 6115 targeting 6100.

• Shorts below 6100 targeting 6086 followed by 6057.

Nasdaq:

• Longs above 22,100.00 targeting 22,391.00.

• Shorts below 22,046.00 targeting 21,833.00 followed by 21,661.00.