So yesterday we had a plunge the whole day. But we had a sav...

Investing 101 commented on a stock · Apr 21, 2022 07:15

So yesterday we had a plunge the whole day. But we had a save in the last hour on the $E-mini NASDAQ 100 Futures(DEC4) (NQmain.US)$ and $E-mini S&P 500 Futures(DEC4) (ESmain.US)$ before futures market closed. we end up losing half of what we gain from Tuesday to cooldown all the indicators.

Daily MFI is still oversold on the $NASDAQ 100 Index (.NDX.US)$ futures, $Invesco QQQ Trust (QQQ.US)$. while the $S&P 500 Index (.SPX.US)$ futures and $SPDR S&P 500 ETF (SPY.US)$ are near oversold levels. The smaller time-frames are either oversold or neutral now compared to yesterday where it was all on overbought.

Even with overbought indicators yesterday, we held the support trendline I drew since monday and VIX still got crushed as I warned about bearish divergences since a week ago.

If $CBOE Volatility S&P 500 Index (.VIX.US)$ goes below 19.90 the index can climb way higher towards 14450 and 14650 as the VIX retraces to 17 level.

$Netflix (NFLX.US)$ earnings caused a sell the rumour, buy the news event. Which we had buy at the EOD after $Tesla (TSLA.US)$ reported earnings.

Let's see if Tesla earnings help lift the sentiments today for general market or if it does the opposite. bullish divergences has been confirmed on daily charts since Tuesday's close and we are expecting more short squeeze before we complete this relief rally.

China ADRs especially $Alibaba (BABA.US)$ has also lost the 61.8 which is a bad sign. final support will be at the 76.4 and if that breaks, we are looking at new lows ahead which my PO of 60 might come into play after the bottom at 70s is broken. This will validate the 16th march as a relief rally as warned on 14th march instead of a real reversal.

Stocks tagged below has technical analysis done as well!

As always trade safe and invest wise!
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