This Chart is selfexplaining.
If ever this might be a consolidation pattern what could the target be?
No matter what number you might tell now: It´s above 20k
Guess what the algos will do with this all.
If ever this condolidation patern might be confirmed in the next 2-5 trading days than it might be a good idea not to short this market for a while.
US-ETF inflows from November 8 to December 15th: A record 97,6 B US Dollar
tradeBob1 is explaining the micro structure of this current structure:
I'm currently a structure trader. That means I don't always believe the support and resistance lines (or areas). I generally try to find some small structures to help confirm the support and resistance lines. Support and resistances are kind of like high and low tide marks on a beach. Sometimes, the tide is higher than normal; sometimes it's lower than normal. The variability has to do with the order book, momentum, hidden trades and micro-information in the market which is non-public (hidden). Also, pin bars are nice, but a single pin bar, alone, without any structural confirmation, is not a reliable reversal indicator, at least to me.
A triangle is corrective structure. A triangle is acts like a doji. You can use the long-term trend to predict how a triangle will finish. But sometimes, medium-term and short-term effect will cause the triangle to make a false exit (wrong direction from long-term trend).
Therefore, I look for micro-structures (short-term bear and bull flag - pennants), to help confirm the direction of the triangle, if it's not behaving according to the long-term trend.