Member Info for Ableton

Could go up or down? Some here are bullish & some are bearish so I'm stating both cases.

Prepared? Very good :) Being prepared is anticipating where price could / should be delivered & why it would move to a particular level. Looking @ the hourly chart it appears the sell stops were indeed paired with buy orders this morning around the 325 level.

The SP went down to fill in the liquidity void (gap) created on the 15th June. Price needs to be efficiently delivered therefore the gap needed to be filled.

If you're Bullish / Upside? A fair value gap (FVG) was created on the 6th June therefore I'm anticipating price to @ least reach the FVG mean threshold which is around the 348 level.

If you're Bearish / Downside? 325 could be tested & price could go even lower to take out some sell stops.

I'd like to see some aggressive rejection @ the 325 level.

It was a liquidity sweep. SP dropped to take out the long entry sell stops. I'm anticipating the recent high of 369 to be taken out next or more downside & the recent liquidity void (gap) being traded too. It'll be one or the other!

Reviewing todays price action the 324.00 level was what some would call support. Price was not allowed to go below 324.0. I'm not a Day Trader but can see that there were two bread & butter day trades today so some have made a healthy profit. A long with 3% on the way up followed by a short with 4.5% profit on the way back down.

It was a Sell Stop. A long position with a stop loss below a recent low. The MMs algo don't know where the stops are located (your broker does) but has a good idea & price was delivered lower to fill & pair orders. Supply & demand & so called buying / selling pressure or MA crossovers or any indicator or similar does not move price. Price moves to where the liquidity is located which will be above old highs & below old lows.

Price has retraced to the last down close daily candle (bullish order block) on the 28th December 2022. This was the last down close daily candle prior to the upside move. Orders will be @ this level. I'm anticipating (not expecting or predicting because know body knows for sure) a move higher from this level.

Could be a liquidity sweep. Shorts have their buy orders resting @ or around the December 2022 lows & Longs have their sell stops @ the same levels.

Therefore, the buy & sell orders can be paired which would mean a reduction in the shorts.

The MM algo moves price to where the buy & sell orders are resting which is generally above recent highs & below recent lows. This is why you often see price making a new low or high & then reversing. Hopefully a bounce will occur around the 34.00 level, or we are looking @ a new low forming & the new reference point is the September 2022 low.

News & speculation, media talking heads & so called experts are all just noise & a distraction from the price action.

Investors (professional & retail) who went recently long will have sell stops @ these levels resting below recent lows.

The MM algos don't know where the sell stops are (your broker does) but the MM algos have a very good idea (retail investors call it stop loss hunting). Professional traders want / will only buy @ a discount & will place their buy orders below recent lows.

The MM algos will then pair the professional buy orders will the sell stops. It's all about liquidity & the SP moves to where the liquidity is. Buying / selling pressure or supply / demand is just a myth.

It takes time for professional traders to build long positions & building a long position isn't done for example in the afternoon session of one trading day.

Reviewing todays price action some will assume 353.7 is fair value. I'd like to see a close above 353.7.

@ LWHL - SP is more likely to go, or target sell / buy stops, liquidity voids, fair value gaps, bear or bull order blocks or to rebalance the SP & I guess a small free float will have an effect on how price is delivered / overall volatility.

I wish you good luck with your long position - You've bought @ a discount price. Patience should equate to profit.

After briefly reviewing today’s price action on the 15-minute chart I can see four technical reasons why the SP dropped this morning & none of the reasons have anything to do with tree shaking & all to do with efficient SP delivery & how professional traders buy & sell.

SP movements have nothing to with MA crossovers, MACD or RSI. Professionals Traders do not make buying or selling decisions based on an indicator, a moving average cross over, trend line break or similar.

Unless you are a day trading the lower time frame price action is irrelevant. If you are a position / long term trader then the monthly, weekly & daily charts are your go to time frames.

Shorts panicking to unwind their positions? Recent long positions will want to sell @ a higher price to willing buyers. Who are the willing buyers @ a higher price? The shorts are the willing buyers with their buy stops which will be paired up with the sellers that went recently long.

Retail investor buying & selling will not significantly move price. Retail investors are small fish in a huge ocean filled with institutional buying & selling large volume.

I visited my local post office this evening & the lady there said she's been informed that the IT system for European post may well be back up & running tomorrow.

Link below to a recent YouTube financial analysis video that may be of interest to some.

https://www.youtube.com/watch?v=Njo8TWJ0NmQ

Link below to a You Tube video - 5 minutes 26 seconds in Dr David Paul of Vector Vest discusses the Games Workshop SP which may be off interest to some.

https://www.youtube.com/watch?v=GmhOV9yRxaU

@HeresHopin – No problem!
@ Whoami2020 – There’s some really good (& bad) information on You Tube. The Investopedia website is also a good place to start.

@HeresHopin – I was asked to justify the 947.50 & replied & traders jumped in @ 947.50 for a reason.
If a day trader caught all of the move then approximately 7% was made on the way up & 5.50% on the way down.
BTW – I’m a LTH & not a day trader but knowing day trading strategies comes in very handy when looking for entry points.

@Treacle24 – I read posts often but don't tend to comment so much. I agree & the SP is above the Daily 200 SMA so I would expect some additional buying pressure. Trade with the trend & expect day / swing traders to make money intraday going long & or short.

@ Whoami2020
A day trading strategy: This morning’s high & low were @ the open (low) & @ 9.05am (high).
Using FIB Retracement, the 50% level was around 947.5 & the SP kissed this level twice (10.00am & 11.45am) & the 2nd time as a retest. That was the level / time to go long.
This afternoon the SP @ 1015 was @ 138.20% & a decent level for profit taking & then going short for the afternoon @ 3.15pm. This afternoon @ 3.40pm the SP bounced on the 70.70% level which was a sensible place for the day traders to close their short positions.
Day traders made a healthy profit for the day on the way up & then on the way down & if the above day trading strategy was being implemented, then you wouldn’t go long again until the SP was below 947.5.

Day traders profit taking - SP may well retrace back to 947.50 level.

Link below to Ted Wainman's recent analysis of CINE which may be of interest to some.

https://www.youtube.com/watch?v=F7su7rapP9M