So we got your sell off today that was anticipated in yesterdays analysis. So far this week analysis has been almost on point. The Bullish run to our target happened on Monday when I anticipated that for Tuesday.
Tuesday I was expecting the sell off since we had arrived to the target Monday, however the market was not ready to give that sell off until today. If you take a look at yesterdays markup you will notice a purple line below. Notice how price arrived specifically to that line after rejecting our area in red just slightly tapping the green box.
The box in green was my line in the sand for bearish price action this week. At this moment there was a significant sell off but in order for me to be convinced that we are headed to the target below I will need a red candle to print through that area with the purple lines tomorrow.
We will see how price delivers through Asia and London and if it is showing us strength or further weakness before Equities open tomorrow at 930am. I do believe that price can find some support from where it is at right now but I am not convinced that we are done with the bearish orderflow this year.
Remember there will be rallies even in a down market when it falls and even when it rise you can expect systematic declines in the ebb and flow of the market.
