31,285 was support and resistance, and price blew through it with no remorse. Now it is a very strong resistance. The next level is 31,154.
This is trading education, not a signal or a promise.
Levels drawn before the open
Every level below was drawn on the chart before 9:30 ET and checked against the price axis. They are graded after the close by fixed rules, whichever way they go.
| Level | Role at the open | Result | What price did |
|---|---|---|---|
| 31,285.94 | drawn | after the close | |
| 31,154.78 | drawn | after the close |
The plan
On the one hour, price consolidated around the 31,250 area and broke below it. With price almost at the halfway point of Monday's body, look for balance soon, and watch 31,154 for a potential reversal to the upside.
On the six minute it is a clean trend to the downside, below the VWAP. Two paths: 1. Continuation to the downside toward 31,154. 2. A slight pull up to retest 31,285 from below.
A level is a reference drawn in advance, not a forecast.
In the video
- 0:00Wednesday: NQ down about 252
- 0:08Yesterday's high near 31,620 became resistance
- 0:19A bearish engulfing daily candle
- 0:45Levels on: 31,285 breaks
- 1:0331,154 is next
- 1:17The one hour: the 31,250 area gives way
- 1:41The six minute: trend down, or a retest of 31,285
- 2:00Questions, and ciycapital.com
Short clips from this prep
The prep is free every trading morning, with the levels drawn before the open. Get it here.
Trading education only. Not financial advice, not a signal, and no promise of any result. Full disclaimer.