It's getting almost ridiculous to post the ideas when the market is trending up with no sign of backing off. Shallow pullbacks are bought. From technicals view the price does what is supposed to do. A breakout of the previous swing high and continuation. The next week is a Holiday week which is seasonally bullish. We may see smaller daily ranges. I personally planning to play both sides to maximize the potential.
How do I short this market when a ranging bull is unstoppable? First timing: during the day session the repricing my occur at the RTH opening, EU sign off, and the late afternoon session. Second: a reaction at a weekly/monthly/quarterly inflection levels. The levels are watched by those timeframes Algos. Don't be discouraged when a slow drifting price seems doing nothing until it touches an important level. A big seller never shows its interest until the price reaches "the level". Traders become too dependable on platforms like BookMap and similar that capture order book. There is no doubt the platforms help to visualize potential areas of liquidity. However, one need to remember the fact that the "big players" priority numbers one is to hide their intend. Instead, they prefer to fake it. Big trading desks place their servers directly on exchanges and pay big fees for only one reason: to place and remove their orders from the queue before it gets executed. This is how they fake it. They know what is captured and shown by retail trading platforms and outsmart them. It is more reliable to watch inflection levels for a reaction and take a chance. You never know how a trade may unfold. Understanding the price action, price action patterns helps to navigate through the fakery. What should happen and what happens instead is the only question the retail trader need to ask. For example, if the price breaks the previous swing high or low it should accelerate but it does not. It's a warning. It means the opposite side is not covering their positions. The acceleration is both sides effort.
This past week the market was inefficient again. Yet another gamma squeeze. The options market drives the flow.
For the upcoming week the options market picked the following range: 16264 - 16912.5. It's a decent range considering the shorter week.
Have a great Thanksgiving!
Good luck!
11/21/2021
How do I short this market when a ranging bull is unstoppable? First timing: during the day session the repricing my occur at the RTH opening, EU sign off, and the late afternoon session. Second: a reaction at a weekly/monthly/quarterly inflection levels. The levels are watched by those timeframes Algos. Don't be discouraged when a slow drifting price seems doing nothing until it touches an important level. A big seller never shows its interest until the price reaches "the level". Traders become too dependable on platforms like BookMap and similar that capture order book. There is no doubt the platforms help to visualize potential areas of liquidity. However, one need to remember the fact that the "big players" priority numbers one is to hide their intend. Instead, they prefer to fake it. Big trading desks place their servers directly on exchanges and pay big fees for only one reason: to place and remove their orders from the queue before it gets executed. This is how they fake it. They know what is captured and shown by retail trading platforms and outsmart them. It is more reliable to watch inflection levels for a reaction and take a chance. You never know how a trade may unfold. Understanding the price action, price action patterns helps to navigate through the fakery. What should happen and what happens instead is the only question the retail trader need to ask. For example, if the price breaks the previous swing high or low it should accelerate but it does not. It's a warning. It means the opposite side is not covering their positions. The acceleration is both sides effort.
This past week the market was inefficient again. Yet another gamma squeeze. The options market drives the flow.
For the upcoming week the options market picked the following range: 16264 - 16912.5. It's a decent range considering the shorter week.
Have a great Thanksgiving!
Good luck!
11/21/2021
