Day’s Theme: There’s a big move from the bottom of a range to the top of a range early in the day.
Behavior Around the High: A sharp drop that will stand out within a period of sideways rotation.
Behavior Around the Low: A rally out of the low along a diagonal trend line that breaks through horizontal resistance to meet a secondary resistance before pulling back to somewhere between those two price levels.
Exclusive Trade Opportunities for Subscribers:
I’m advised to trade around a decision between two leaders or a holding pattern with a “pop and drop”.
Overview
On July 20th, there’s an important price level highlighted in the pre-market. We’ll decline pretty hard into the open where there’s an important reversal and a big move out of that decline from the bottom of a range to the top of a range in the first half hour. That will take us to a peak or crest and we’ll then have a reversal off of that. Between 10:00 and 11:00, we’ll see both a high and a low in close proximity. There’s a lot of price change around a resistance level around this time.
We’ll rally out of the low from 11:00 to noon into a peak or crest and a failed attempt to break through key resistance at a high around 1:15 or 1:20. We’ll then break down through that same price level shortly thereafter with a sharp drop that will take us into a low toward the end of the day. Out of that low in the last hour, there’s a bullish price swing and an important support level on a multi-day scale highlighted at the close. We’ll move to the upside in the post-market out of oversold territory.
Sneak Preview
We’ll probably open higher in the pre-market and then we’ll have a sharp decline into the open through multiple support levels.
Comments