Setup: Short lower high
Catalyst (If any): Economic data slowing
Risk: $30
Reason for SL location: above recent peak. A break above would disprove technicals
Profit targets: T1 = $40.30 (Recent support/old resistance and 3 X R) T2 = $39 Key Volume Profile level
Other comments: ARB is up 330% from the Covid lows. The reflation trade seems to have run it's course and I feel all the positive news is already baked in. Volume indicators show a weakening trend. Economic indicators are also beginning to miss expectations. I believe the economy is slowing and as such have begun to look for shorts in cyclical stocks. Price is obviously king so will accept the loss if it breaks $46.50 in the next few days..
Catalyst (If any): Economic data slowing
Risk: $30
Reason for SL location: above recent peak. A break above would disprove technicals
Profit targets: T1 = $40.30 (Recent support/old resistance and 3 X R) T2 = $39 Key Volume Profile level
Other comments: ARB is up 330% from the Covid lows. The reflation trade seems to have run it's course and I feel all the positive news is already baked in. Volume indicators show a weakening trend. Economic indicators are also beginning to miss expectations. I believe the economy is slowing and as such have begun to look for shorts in cyclical stocks. Price is obviously king so will accept the loss if it breaks $46.50 in the next few days..