Wyckoff Wave Near Bottom Of Trading Range

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The Wyckoff Wave closed the week slightly higher, with increased volatility around the FED speak.  Volume was average on the selloff.

The oversold Technometer reading has been now replaced with a near overbought reading.  This has occurred because of the OP leading the way to the upside while price is not responding.  You can see this on the intraday 5 minute chart.  With this occurring we will continue to stand aside until the picture clears.   

The Technometer is near overbought with a reading of 49.14.

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The OP is rallying while the Wave is trading sideways as mentioned above.   This would indicate buying that is not raising the price.  Let’s watch this divergence this week.

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WWN – The Wyckoff Wave New Index was down for the week on a slight increase in volume. 

We was hoping for spring type action, since we had an oversold Technometer.   We did not get that and the Technometer went to overbought on Wednesdays FED rally.  This on the surface does not look bullish.   

The Technometer is near overbought with a reading of 49.1

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The Wyckoff Wave Growth Index traded slightly lower for the week on average volume.

Last week we was wanting a strong recovery on an increase in volume, but we got continued new lows for the move. 

As of all general market Technometer’s, we have went from oversold to overbought,  with a current reading of 50.  

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The SPY closed the week basically unchanged, with a slight increase in volume.

Here as well we are near overbought on the Technometer at 48.2

 

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The bond market closed sharply lower once again, on a slight increase in volume. 

Our indicators have not given us much help in this market, thus no positions.  

The Technometer is near neutral with a reading of 42.5.

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The GDX closed the week slightly lower on average volume.

We got the backup that we had been looking for, but the stock market has kept stocks of miners pressured.   We think this market is making a low here.  

Technometer is near oversold with a reading of 38.9.

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The long dollar ETF, UUP closed the slightly higher once again.  Volume increased on Friday’s selloff, but was otherwise average.

We are on sidelines but want to be short.  The continued weak stock market/inflation/Russia keeps the Dollar firmly bid.

The Technometer is near overbought with a reading of 48.9.

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Bitcoin also followed stocks lower with Bitcoin having continued its recent weakness. Volume was slightly higher.   

We overall like the action in Bitcoin, but the pressure from stocks continues to push it lower.   The OP continues hitting new lows while price is trying to hold higher lows.

Our Technometer for Bitcoin is neutral with a reading of 43.3.

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Good Trading,

Todd Butterfield

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