Trading Plan for the days action 25/02/22

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Charts Marked with anticipated price action entry setups in yellow.

A big short squeeze and some bargain hunting sees markets reverse the recent trend down. The move was indicative of a short squeeze as apposed to buying support and a new trend higher. Biden says that the US will not fight in the Ukraine but will use major sanctions against Russia. Safe havens reverse as Gold takes a beating back below the $1900 level.

The SPI200/ASX200 both spent the European session holding a base before launching higher late in the US session. Prices on t he SPI200 pushed up into resistance while the ASX200 is searching for a level. Prices are extended so the open will be difficult and will be interesting to see whether bargain hunters can support price for continuation higher. The DOW ramped higher through 33005 and wants to extend on those gains to clear out more sellers. Prices were supported from the open in what seemed like an engineered move ahead of the news that the US will stay out of the fight. We may see a move into 33577 ahead of the US open tonight as shorting at current levels will be difficult. Hang Seng also ramped higher after the close into 23135. Price action is extended like other markets but considering the recent move lower, we could see a further ramp higher on the open. Any short will need to come off a major lower high below 23135 or after a flush into 23285. Any long will also need to come after a strong flush lower to clear out some late buyers and after a higher low holds. The Nikkei ramped into 26265 where buyers started to lock in some gains and the rally paused. Price is extended as with the other markets but could easily get a head of steam up on open as bargain hunters support prices. Will be watching for either a good flush lower to clear out late buyers and a higher low to hold for a long or some rejected spikes higher for a sell.

Cryptos ramped higher once the buying into the stock indexes got underway. Bitcoin flushed up into 38850 and stalled in what was more of a short squeeze than new buying support. Ethereum did the same into 2748 so both will need to build a good higher low before a trend higher can start and give me a reason to buy.

Spot Gold was hammered back down as safe haven buying was reversed. Price move straight back into 1876 as buyers were caught off side. Expecting that we may have seen the highs for a while and bulls will need to build a base before any new ramp up. Will be watching to see how sellers react around 1910.

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SPI200 Index

ASX200 Index

DOW Index

Hang Seng Index

Nikkei Index



Spot Gold

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