ES – Channel Surfing 2hr – NQ YM RTY SOXS TQQQ TLT ZN ZB ARKK
Friday’s WRR was symptomatic of how the Order Book and Market @ depth can be
rung like a Bell – Every stop was smoked.
We held 493s @ 12 after peeling off the same ahead of Thursday. A solid and comfortable
buffer of 8 Handles giving us a 501 B/E – Stop was 96, the reaction level and prior PO.
Wrecked in minutes, All positions took the poker, hot.
NQ was the leader into Thursday close, making a lower low on the Hourly, while finishing
Friday @ new ATHs. The only trade taken in NQ was the initial higher high @ 428 to 390 on
80 MNQ scaled in from 426. This Sell became the fuel for the next stop run higher. Retail
Traders entered and reentered the Sell all day only to be crushed under the bid.
The Semis bid took SOXS to new lows, ending our position on Stop – our largest loser in
ES Chart illustrates the higher targets – and lower 4441/4444 Support – 80 Handle range.
What it does not show is the following – Market on Close orders were followed on in
Globex – the Sell imbalances… were immense.
Perhaps those in the know, knew the Drone Strike retaliation was on Deck.
It is clear we are in a Large topping process, with stop run after stop run the tool in trade.
Where this terminates now is a WAG.
The very moment everything lines up in a large SELL, the rescue operation doubles down
and makes New ATHs on expanding divergences.
Frustrating in the extreme as it requires very large drawdowns, unacceptable drawdowns
Hedging DEC SELLs with SEP Bids Intra-Day has worked, although the Risks in continuing this
balance is so extreme, we are going to remain in CASH with an extreme negative position