Bearish progression

Jun 4, 2019

Progression. It's often a word thrown around by many without the slightest clue what it means... so let's talk about it!

Yes; distribution, big resistance, rising wedge. We were looking for shorts yesterday and are now in the move we were looking for.

But staying short is a challenge because it should pop back up to test 8739 area. Why? Dunno? That's how double tops work. The price will generally pop after it's lost support and finished forming an M, and then will come back up and test the apex of that M, before coming crashing down.

I wouldn't want to be shorting here, as bearish as this looks there are too many zones below here that could cause big pops.
Speaking of pops, there is definitely room to play the pop off 7620, but ultimately I'd be looking to get back in short once we fail the apex of the double top.

I'm marking this idea as neutral for this morning.
I set an alert for 7640

Jun 4, 2019

Note

Technically speaking, this is the area that should receive a pop.
If price significantly reacts off the support here that's usually indication of accumulation in the smaller tf and going back up to test what was lost. From there it's just a game of support gained to support lost until momentum builds up or down.

If NOT, so if the price just chops around here, it's usually indication the chart is building up more bearish momentum to retest the low and probably push through. A pop will make this easier to read.

Jun 5, 2019

Note

Price needs to close above 7900 or chop higher to confirm long.