Linda Bradford Raschke mentioned in one of her lectures, to make an educated guess where the market would go the following day - You'll know immediately when you're wrong. James Dalton would say to have scenarios for long/neutral/short on hand.....
Today, my trend forecasts fell apart on Gold, Oil & Natural Gas - A broader examination is warranted...
- Did not continue it’s trend short as expected
- NG was forming a barnacle island lower yesterday
- Trapped buying wicks were revisited allowing plenty of time for trapped buyers to cover
- Price returned long to the Contract POC!!!!
- A zoom out performed
- Reacted to a supply/demand level beyond two contracts ago!!!
- Outside supply/demand bases brought into the picture
- Seasonal rally clearly failed today
- Price probed lower, taking out long stops
- Volume showing deliberate selloff
- Psychological historical levels identified for go low scenarios
- At an important level
- (Bullish) Could revisit historical key S/R Levels with the trend
- (Neutral) Could fill in LVA
- (Bearish) Could return to composite POCs