- We look at what the stock market did today and where it is at, via the Russell 2000 futures
- Profit takers seem to be waiting at the resistance line shown in the stock market technical analysis video below and the Russell futures may sell off till the value area high (VAH) of the range or the exponential moving average (EMA20) of the 4 hour candle price chart
- Crypto rallied nicely and may be printing a double top. If we consider recent correlation between Bitcoin and the futures markets, then this might be a hint to look at, which strengthens the possibilty of selling that comes next
- Still, the selling may be temporary and we show what price levels to watch next
- Netflix is reporting earnings tommorrow and may influence the entire sentiment of the market. It is reasonable to believe that following a 15% surge in NFLX in the last 2 trading days, traders would tend to mitigate risk by lowering overall positions, which means selling to lower their size. Following the earnings and stock market reaction, traders will have more information and confidence for their next steps
- The following chart shows a summary of the today’s stock market technical analysis snapshot as represented by the Russell, and the other indices are in similar situations, following a rally of love for the bulls but resistance awaits. It may be temporary and bulls should keep an eye out for a possible 4th attempt to break the red line resistance:
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This article was originally published by Forexlive.com. Read the original article here.