Distribution delayed and could be knocked out.
How? Volume.
Big Boys are no show. A good volume day would start around 2 million. Hardly getting 1.5 million. Technically , this can engineer what the analyst projected for Feb 2010. 1200 here we come. Yes I used engineer. But since they can’t hide what they are doing, we can take advantage of whatever happens.
The low volume has risen the price and has reset many of the short term momentum. But because it is low volume, in the longer term, the picture has not changed much.
Potentially, this weekly rising wedge will fail. The reason is that it has not displayed a large lost of bullish volume. It is flat.
Funny things happen when there is low volume. Not really funny, technically correct. You can notice these things happen when you look at the price action in your 1 min chart, when the price goes against your oscillators, up becomes down and down becomes up. Oscillator cycle says down but price goes up. What is really happening, is that price action defaults to higher trend ergo higher timeframe. So you look for where it is coming from and you notice, the only one that is agreeing, is your 15min or maybe your hourly. And when that happens, the volume is really low. Market defaults to following the true trend. Higher timeframe trend. Logically, if your bullish volume is 2x more than the bearish volume overall, if the volume drops and you drop even a penny to the bulls, then obviously the price will go up. If you take out a penny, can you significantly affect the price? Can you significantly offset the volume in your favor? No to both.
If you were trading Friday, you would have noticed how slow and how low the volume was. And then near the end of the day, it pops up. Your key to projecting the pop? The 15min chart. You had a flat macd in generally all of your lower timeframes. When this happens, you can’t tell what is accumulating or distributing. A flat macd signals something big will happen. It was your 15min macd that was trending. Showing you how it was building bullish momentum.
As you can see in this monthly, there is very little sign of weakness. Where is distribution happening? In the daily, continuing to go higher and higher on lower bullish volume. I wonder what that means?
Upcoming levels are from the 2003-2005