Rising Wedges Characteristics are notable for downside maneuvers. Price prints in distribution at steep premium to POC, which gives us insight, price is a phase of discarding inventory. That is visualized with the bi modal distribution built in the distribution area at 1990 and 2050. The level is of significant interest to market with possible portfolio unwinds or hedging at these levels. Price will ping pong the bi modal’s distribution until sentiment will imbalance. The wedge of descent has high probability of reversals.
2 HVNs You Should Watch
SPX Trend Line of month long rally has violated to the downside. Price action will be capped with 2050HVN-1990HVN. The game of ping is next between HVNs, as a confused market revalues itself. We wait for a major larger imbalance, and perhaps triggers such as 1Q earnings, WTI, CNY devalue, or non-economic factors may come into the lime light.
Will HY Credit Spreads Continue March Forward?
Wave of Energy companies coupon payments are due this Friday, April 15th, and the 30th.
HY Credit Spreads will be on watch