Tuesday, February 2022 should start some type of rally based on technical levels in many symbols, but selling may resume if it is short-lived, writes Trevor Smith of Trevor's Trading.
Multiple symbols that I track are on technical support levels (weekly/monthly reversal pivots), and I expect a rally to appear very soon, but it may not last in a news-driven global market. Some dip-buyers are watching these swing lows but selling can be equally strong.
Disclosure: I’m holding a long E-mini S&P 500 (ES=F) trade, but it is not very significant—that is, I am not “talking my own book” over a weekly-issued $35.00 binary ES 4,313-strike option in the Nadex Exchange that reaches my exit target at the 4386 level on Tuesday-Wednesday or before Friday expiration. 4,266 current price.
My last article, Bitcoin’s Back and Indices Breakout (moneyshow.com), stated correctly that markets were short-term bullish with bearish higher time frames, and it is a similar situation now. My space weather dates for bearish sentiment were near and on the dates that down moves occurred. As of February 21, 2,022.6 of ten projected ranges printed with other numbers being very close.
Next Week’s Predicted Ranges (Written February 21, 2022)
E-mini S&P 500
High Range 4425-4385; Low Range 4250-4231 Bullish then bearish range.
Space weather and non-terrestrial event dates for potential bearish sentiment are February 22, 24, 25.
Bitcoin (BTC)
High Range 41427-40252; Low Range 35657-34717.
Neutral-Bullish ranges; 20-month moving average support.
Euro FX (EUR/USD)
High Range 1.143-1.132; Low Range 1.129-1.123.
Neutral-bullish ranges; 1.164 yearly pivot pulls from overhead.
Gold (GC=F)
High Range $1933-$1923; Low Range $1883-1865.
Neutral-bullish ranges. Breakout setup. Quarterly chart is bearish, but shorter time frames are bullish
Crude Oil
High Range $94.11-92.91; Low Range $87.92-86.25.
Neutral ranges. Yearly pivot: $40.19; $84 February Monthly Pivot. $54-$46 Fibonacci 50% level is possible-eventually.
Prior Predicted Ranges (Written January 30, 2022 for February 1-15, 2022).
E-mini S&P 500High Range 4531-4485; Low Range 4350-4312.
Bullish then bearish range with 4154 target as the most frequent answer I get; price has breached the monthly, quarterly pivots in weak form. Opinion unchanged: Q1-2 offer deeper pullback dip-buying opportunities. Space weather and non-terrestrial event dates for potential bearish sentiment are January 31, February 4, 18. Yearly Pivot 4404.
Actual: 4586-4250.
Bitcoin
High Range 41665-40052; Low Range 35240-32691.
Neutral-Bullish ranges in a Bearish monthly chart; 20-month moving average supports bounces.
Actual: 45905-36340.
Euro FX
High Range 1.133-1.126; Low Range 1.106-1.103.
Neutral-bullish ranges; 1.164 yearly pivot pulls from overhead.
Actual: 1.150-1.114.
Gold
High Range $1820-$1805; Low Range $1774-1765.
Neutral-bullish ranges. Breakout setup. Quarterly chart is bearish, but shorter time frames are bullish.
Actual: $1918-1788.
Crude Oil
High Range $89.50-88.25; Low Range $84.60-82.15.
Neutral ranges. Yearly pivot: $40.19; $54-$46 Fibonacci 50% level that quickly recovers is possible.
Actual: $95.82-86.55.
Trevor Smith is a technical market analyst/forecaster who is registered as a Commodity Trading Advisor. You can view Trevor’s Trading here.
