Nasty set of red candlesticks painted the market, but most of these occurred within the context of trading ranges. It will be a question of balance as and make gains, as Technology suffers. has been on to a hiding, but the retest of the capitulation is coming on modest action and lower volume – the kind of trading you want to see for a tradeable bottom.
The () took a 2% hit on higher volume distribution, with the 50-day MA coming into range as a support test. A bullish play would be for a tag of $255 support followed by an end-of-day close above the 50-day MA. Technicals show ’sell’ triggers for MACD, On-Balance-Volume, and +DI/-DI. Things only get bearish if $255 support is lost.
More of a worry is the ; early gains were quickly reversed, leaving a nasty spike that has a toppy look to it. Technicals are still positive and the 20-day MA has playes as support swing the swing low in November. I think a test of the 50-day MA is probably due here, and that might be the buying opportunity.
The traversed the breadth of its trading range as it undercut both 20-day and 50-day MAs, and leaving it on course for a test of 6,800. Volume rose in distribution, and MACD, On-Balance-Volume and +DI/-DI are bearish. Today could be a big day for markets.
The failed in its retest of former ascending triangle support – turned resistance. It’s now heading for a test of $22.2K trading range support, with net bearish technicals; a loss of this support test opens up for much worse because there is little positive on offer here.
While the played to a picture-perfect short on the loss-and-retest of channel support resistance. A loss of $130.70 would open up for a measured move lower with a target of $120.
The trade of the day could be Bitcoin. This has nearly halved in value since its 2025 peak, but since the start of February capitulation, it has drifted back towards a retest on lower volume. I’m looking for a smaller spike low (I have stuck a GTC order at 63,310) to mark the bottom (or an equivalent bullish reversal candlestick).
For today, watch for an expansion of selling in the equal-weighted and a bullish step-up for Bitcoin.