Another indication that you shouldn't short the lows and we should be looking at a *counter uptrend* (not a reversal)
In case anyone doesn't know, 95% of price action happens inside the bollinger bands. If you look at the bidaily timeframe we closed 2 2 consecutive candles outside of the bollinger bands. AND tested the macro .236 Fibonacci from the bear market lows to ATH but that's besides the point of this post. But I myself sometimes forget to check the bollinger bands for confluence on a trade. But it's the same percentage, 95% on all timeframes, whether you're looking for a scalp on an overreaction 5 minute candle or a macro timeframe. If I see a potential trade after a breakout, I always try to remember to check those bollinger bands before executing a trade just for extra confluence on my thesis. Now that being said on spy, I don't expect a move towards all time high just yet I'm just looking for a "counter uptrend* to retest a prior low potentially setting a lower high before following through on a further decline. Hope this helped
In case anyone doesn't know, 95% of price action happens inside the bollinger bands. If you look at the bidaily timeframe we closed 2 2 consecutive candles outside of the bollinger bands. AND tested the macro .236 Fibonacci from the bear market lows to ATH but that's besides the point of this post. But I myself sometimes forget to check the bollinger bands for confluence on a trade. But it's the same percentage, 95% on all timeframes, whether you're looking for a scalp on an overreaction 5 minute candle or a macro timeframe. If I see a potential trade after a breakout, I always try to remember to check those bollinger bands before executing a trade just for extra confluence on my thesis. Now that being said on spy, I don't expect a move towards all time high just yet I'm just looking for a "counter uptrend* to retest a prior low potentially setting a lower high before following through on a further decline. Hope this helped