Thx for your response Randy

No he’s long retired living the good life. Despite Randy’s thoughts he was long TSLA.

To me it looks like IWM is coiling to push thru that resistance. But until it is taken out…resistance is resistance.

The ‘island’ was already put in place on the June 11th gap down. Ideally, SPY should have followed up with a second red candle the following day on June 12th (but didn’t) or at least continued to move below that June 11th candle shortly afterward. Instead, SPY has been locked in a sideways trading range since… not the ideal follow-thru to what is normally a fairly reliable sell signal.
Does it matter if the gap is fully backfilled or even then some (SPY moves above the top of the gap but not above the top of the island?), maybe.. probably, but this market is not acting normal. I’d like to chalk it up to the massive Fed intervention & price distortions they have caused or maybe my style of TA just isn’t in sync with the stock market right now (or a little of both). For now, I think the sell signal from the island cluster top & trendline break/gap down is still intact with another leg down likely to come from around these levels but the sideways trading range since that sell signal is not typical nor ideal for the case for more downside.

I do think IWM has significant resistance around that level & although my R line is at 145.08, it is more of a resistance zone of around 145-146ish, which also includes the 200-day SMA which comes in at 146.33 right now. It would be a bullish technical event if IWM can clearly take out that resistance area and yes, an objective long entry but I’ll have to see what else is going on with the charts of IWM as well as the other indexes at the time to decide if it looks like an ideal entry or not. So far today, IWM had another rejection off that level which helps to define it as resistance (after parking there at the close yesterday).

I wouldn’t say the stock market is melting up. The tech sector/FAAMGs/QQQ has a strong bid beneath it recently but not the broad market (SPY), which is trading at the same level it was over 5 weeks ago. Small caps (IWM) is also a more diversified index than QQQ, much more representative of the US economy & that is trading where it was about 6 weeks ago. “The stock market” refused to go down but it stopped going up, or at least started moving sideways, over a month ago. And yes, the is a widely held belief that the stock market will only go up as long as the Fed wills it. Just their latest in a long history of bubbles.

Is there an inverse analyst to Randy?

Re guarding the FED 40% of the FED’s Q.E has made it’s way into the TGA (Treasury general account) Yes that would be Trumps Treasury account 1.2 Trillion currently and can deploy that money when and where he wants it and doesn’t have to let anyone know.. Dont fight the FED and Treasury at the same time with 1.2 trillion in its checking acc..Lol.

If this is the case then he should seriously let any new member joining that he is not offering any official long trade ideas in the broad markets at this time (due to whatever reason)and wont until the markets come down to a level I am comfortable with? (whatever that is?) See how many take the service then. 2 years IT”S RIDICULOUS!

none/done