s&p for the next week

14 août 2022

We see the s&p is in a hurry to take out the liquidity above the old highs. So what to expect the next week? What are the targets above and below price? The next buy side is at 4504 but as you can see on the lower timeframes, this level has already taken out equal highs and formed a bearish order block. The algorithm is likely to run out of steam before taking out this order block especially with all the buy side that it will take on monday and/or tuesday at 4310. The algorithm will not seek stops to make them profitable right?

Now lets have a look on the downside targets. We can see:
1: there are some pip-perfect lows at 4111 and 4078. To clean for the algorithm!
2: the imbalance at 3990

So what to expect when it is unlikely to continue higher:
1: A retracement lower
2: consolidation

We know that expansion leads to contraction and contraction leads to expansion.
Since we have seen a big expansion to the upside it is not unlikely to see some contraction and consolidation inside the gap to rebalance it. Up and down, up and down to upset some traders that try to catch the breakouts in whatever direction. When the rebalancing is done the algorithm will have built liquidity above and below the trading range. We still expect price to not move higher, so we expect it to go lower - contraction leads to expansion. But the algorithm is unlikely to expand lower with all the buy side still above the consolidation. We should see a spike above the range on some big news into the order block to take the last buy side liquidity and finally a drop lower.

When can we expect the top to be formed? We expect a short spike above the range high. How can the algorithm spike the market without making people feel strange about it? It uses a smokescreen... and it is called "news"
Maybe some nice fomc on wednesday 6pm? Could be something to watch out for...

analysis based on the FREE teachings of the ict
idea reuploaded because first one got banned :(

16 août 2022

Note

4310 target hit