Intermarket Analysis Throught Macro and Technical Methods
Technical Setup for shorting Tecs.
Setup.
Direxion Daily Technology Bear 3X. Shares Ticker: TECS
This is the chart that caught our attention and led us to focus on this setup.
Trend.
Japanese Candle.
Momentum.
Weekly perspective.
Mean Reversion.
Triggering.
Trading Styles.
This ETF is extremely high-risk, primarily because, being leveraged 3x so time becomes expensive.Many traders lose focus on the message a triangle or wedge provides. Some even classify them strictly as continuation or reversal patterns. A wedge is primarily a timing pattern.
- First,because it sets up the trade. The setup has an expiration date—after which it’s no longer valid.
- The wedge breakout is the first signal.
- Volume determines whether or not the trade fires.
In this type of asset, we lean toward Style A. Why? The range is too wide, and to operate Style B correctly, the position size becomes very small.
Well, that’s all for today.
For the 1000th time, these are not trade recommendations. This is what we do, and we share it for marketing purposes.
We’re nearing the end of the year—a time for personal reflections, spending time with loved ones, and enjoying a beer or two.
Enjoy!
See you soon,
Martin