Sorry about that. Looks like the embed code for the chart didn’t work & I’m still catching up on my reply/comment notifications. Here’s that same chart (from yesterday/Tuesday morning) with the potential targets (actual resistance levels) for XLV. It backfilled about 2/3rds of that gap today with the next resistance level the top of the gap around 83.68.

…I need more mice… : >}

Looks like NFLX will make a very divergent high soon…..

can’t see a chart?:O

Thanks for your reply Randy. I will wait and see if your scenario plays out (Divergent high).

Here’s an updated 60-minute chart of XLV with what I believe contains the minimum (where XLV is now) & maximum (52 area) price targets for this bounce before a meaningful reversal. I can’t say with a fair degree of conviction which, if any of these resistance levels (unadjusted price targets) will cap this advance but I can say that two viable options are 1) to let the position ride with a trailing stop or manually ratcheting up stops along the way and 2) start taking partial profits as each target is hit (or a combination of 1 & 2). G-luck & congrats so far!

I think soon but can’t make a decent case to re-short NFLX just yet for those that covered when T1 was hit or anyone looking to start a new short entry. The trend in the broad market is bullish although if I could make a solid case to short NFLX based on the technicals I would.
A little more upside & the stock will have put in another divergent high, essentially an extension of the divergences that were in place at the previous & still ATH high which we shorted it near last month before that sharp correction.
The second mouse gets the cheese & although I can’t wait to short the next major leg down in NFLX, which I think will be much larger than the ~18% correction off the March high, I just can’t make a case to even take a partial short position here at this time.

Good morning Randy. For NFLX, do you think is now a good time to reenter our short position?

Possibly but I can’t make a strong enough case for a swing short on QQQ at this time. In fact, I can’t even rule out new highs in QQQ. Best to hold off on adding all but the best looking individual short swing trades for now & especially on the broad index-tracking ETFs as the near-term trend remains bullish since early April.