Despite positive earnings, $shop still going to new lows.

The earnings reaction was positive today which saw shares of shop go up over 20%, however we're already fading the news.

The big picture is that we're in the process of a larger market wide correction that will bring all stocks down with it.

If we look at the chart, even with the news today, price has just formed another lower high and is setting up for a large move lower.

I don't think we'll see a bottom be put into the market until we test $31 or lower. Base case is we likely hit the two lower supports on the chart.

Let's see what happens in the coming weeks.