Pay attention to the dates of Ilon Musk's statements about the “grand purchase” of $44 billion (some sources of information have 43, but most advertise as 44 for obvious reasons) of the social network from which he broadcasts.
Probably many people understand what 44 is and why that particular number and time is chosen. 44 is a warning that is often used in various media, especially in the era of the crown virus and various “military operations” not only of Russia (as a plan and coordination of one).
On April 4 (44) Musk bought a 9.2% stake in Twitter for 2.89 billion (area + level). On April 25 (25/4) he already bought for 44 billion.
Naturally, it can cheat because the crowd must lose, knowing the exact value—it wins. As an option, these are directions to fuel the first decline (which everyone is selling now because they realize they will buy at a lower level), and the reversal will happen much sooner (planned and coordinated by various major market participants, the world situation).
Basic things in trading never change. Only the adjustment to the new scenery of market reality changes. Trading is primarily a projection of the human psyche onto a chart, and then everything else.
Pay attention also to the dates, there may be events that will be displayed on the price of assets, quite possibly on the index (it is not necessary, but it should be taken into account). For your eyes will go dark, from lack of understanding and lack of communication with the "battle hamsters", and you will not understand the main trick of the "noble hustlers" to save the world. After a while you will read another fairy tale as justification for the "market direction effect" (capital annexation).
For such a fall to take place, which is "secretly told to the world" by "the mouthpiece of the 'brand-man' Tweeter" (behind him are other people not from the "conspiracy theory" section), it is necessary that a "great sadness" takes place in the USA and in the world (as a projection of the locomotive of the world economy), which will strongly hit the economy of this country, which will be reflected on this index.
The chart shows 2 previous crises and their significant corrections, and of course, the V-shaped reversal. We should first of all understand that the price is currently under the uptrend line, and this fact cannot be hidden. The reversal (recovery) can happen only when the descending secondary trend line (purple) will be broken through and the price will fix above it, and the growth of the price (growth of the markets) will start.
A fractal is a cloned psychological behavior of people projected on a price chart.
Can it be a trick? Undoubtedly, yes. Limit your risks, do not hurry with entry points like in long / short and have a "safety cushion $". The basis of earnings at a distance, no matter what trends—it's your trading strategy and risk management (knowledge, projected into actions based on your experience).
No matter how much virtual money you have earned in the market, as long as this profit is not materialized in tangible goods and services—it is zero.
If you work in shorts (on any asset stock, cryptocurrency, and so on...), be sure to use a stop and move it after the decline. So that your profit doesn't turn into a loss.
I purposely attached my previous trading/learning idea on a live chart (see update and description). See how this stock took money by manipulating long and short squeezes while the price was going down.
Also check out this idea of learning/observing from Dow Jones. For a general understanding of the processes. This index, along with the SP 500, represents the situation in the U.S. and the world. There is an extensive article on this topic.
Trading situation now. The price has broken the downtrend. After the breakdown, a bearish "bat" harmonious pattern is formed in the descending channel. Linear chart to remove squeezes and show the trend. Important levels, trend and reversal zones on which the further development of the trend depends are shown on the chart.
A slight increase in bitcoin and cryptocurrencies is a projection of the recovery of the stock market after the recession. Bitcoin follows the “mood” of the stock market, the crypto market follows the “mood” of bitcoin. There is currently no inverse correlation.
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10 06
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-5% from a local uptrend breakout. If we hold these levels zones, then a double bottom is formed and the dynamic support of the descending channel is kept. If, then sadness).
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Timeframe 3 days. -11% Decrease continues. There was no stop of decline from the zone of dynamic support. The price of the index against the backdrop of inflation reports and the US consumer price index (1006 update on this price index in the US) broke through the dynamic support of the local channel - zone 3844. This is not a good sign.
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The index has broken through the 3666-3911 clamping zone. As a result, the local revival of the stock market and cryptocurrency. The price is pulling up to the resistance of the descending channel.
Important turning zone. Percentage from this zone on the chart (% rate decision, trigger event in the USA). Remember how the situation will develop in the stock market and in the USA, such a reaction will be in all markets, including the cryptocurrency one.
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+8.% The price has reached resistance 4176. Consolidation is below it. Important date 10 08 2022. Time of increased volatility in the markets.
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This is what the secondary trend looks like on a line chart (time frame 3 days). As we can see, an expanding triangle is being formed. All key levels and zones, as before, on the chart. The most key resistance zone is 4400, this will be the intersection of zone 44 and the resistance of the expanding triangle.
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Current situation on SP500
Let me remind you. 20-21 09 2022 (depending on your time zone) FOMC (Federal Open Market Committee) meeting. It will be accompanied by a Powell press conference and the release of updated economic forecasts.
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Time frame 1 day. Breakout of the reversal level 4084.19 and downward movement to the level 3911.37, from it and reversal +4.68% to the former mirror support level, which has now become resistance. The important point now.
We need to understand that from this decoupling will and will be the direction of the trends in the stock market and cryptocurrency. It is worth noting that the local uptrend channel is broken (green trend line). The price in case of a downward reversal will form a downward local channel.
Important local dates and events are plotted on the chart for understanding. Also, % from this zone. Once again I emphasize, now is a very important moment, including for "crypto".
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The whole secondary trend.
Specially left the time frame of 1 day, so that you could see the dates. Note the dates 13-18 January (01) 2022 when the primary trend was broken.
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From the reversal zone of the level 4084.19, the price at the moment of the index has decreased by 4% to the first level of local support 3911.37
13 09 2022
Inflation in the US was 8.3%.
The forecast was - 8.1%, Inflation in July - 8.5%
The figure is higher, but not much more than last month. Appropriate reaction of the markets. Naturally, first the American stock, and then everything else, including bitcoin and alt (risk assets).
Interestingly, if we add up the estimated FUD forecast of experts and the announced indicator, then we will get the month and date, that is, 8 + 1 = 9 and 8 + 5 = 13 09 13
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-18% from level 4308. -13% from the level of 4084.19 to the zone of the level of 3544, shares of % did not reach +6.8% rebound from 3544 to 3800.14
Pay attention to how accurately the levels work out. The greater the #liquidity of the instrument (for effective people in pricing), the less #volatility due to the same liquidity. In this regard, levels are worked out more accurately, to the point that the level becomes not a zone (as in cryptocurrencies), but a "line".
Pay attention to how key financial reports and #Fed decisions affect the price (local reversals). Therefore, these dates are important for understanding the future price movement, especially if you trade locally.
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This is what it looks like on a line chart. I deliberately left a time frame of 1 day, so that small non-squeeze price movements could be seen.
The price is moving in a descending expanding triangle. Now is an important local moment, as in the publication on September 13, the outcome of which depends on the further development of the price movement of the markets.
On this line graph, the mirror fractality with the past decline is clearly visible.
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