See chart for relevant explanation.
These two levels offer clear markers we can use for context relative to the D1 wedge break.
The eventual break of A looks great in hindsight, but wasn't a great breakout setup. B provided a much stronger story, and exactly the sort of price action we're looking for ahead of a break.
I'm borrowing directly from Bob Volman, but trading around these levels is highly dependent on the presence of buildup and double pressure. The break at B is one of the few cases of a grade A BO setup. We expect the kind of momentum that follows because the Bull-Bear fight that's been going on for a couple of days suddenly has a total paradigm shift. The same level, at which we're experiencing directional contraction, is where longs are going to be forced to sell, and aggressive shorts will be looking to sell en masse.
These two levels offer clear markers we can use for context relative to the D1 wedge break.
The eventual break of A looks great in hindsight, but wasn't a great breakout setup. B provided a much stronger story, and exactly the sort of price action we're looking for ahead of a break.
I'm borrowing directly from Bob Volman, but trading around these levels is highly dependent on the presence of buildup and double pressure. The break at B is one of the few cases of a grade A BO setup. We expect the kind of momentum that follows because the Bull-Bear fight that's been going on for a couple of days suddenly has a total paradigm shift. The same level, at which we're experiencing directional contraction, is where longs are going to be forced to sell, and aggressive shorts will be looking to sell en masse.