Supply and demand in a nutshell by Alfonso Moreno

Coca Cola #KO american stock weekly and monthly demand levels in control. This is an update to a previous analysis done last December 1st 2018 where we were planning to buy Coca Cola stock at weekly and monthly demand levels located at around $46.

Stock price has retraced to these imbalances and playing out for now. We do not take into consideration any stock earnings or fundamentals, we do not need fundamental analysis in order to make a trading decision based on supply and demand imbalances.

If you still want to take into consideration fundamentals, you can do it of course, it's just another layer of complexity and variable that must be added to your trading plan. Last four earning releases were negative on Coca Cola stock, that didn't stop monthly and weekly demand zones to gain control and start playing out. These earnings releases and fundamentals help price move and retrace to supply and demand imbalances where we should be planning to take our trades, but only if these levels score high. We just want high probability setups.

If you are interested in trading options using supply and demand, this was a good spot to buy long term long calls or other option strategies that you might be using. It's all about location, location, location. We have strong levels of demand, going long buying long calls or similar strategies is the way to go on Coca Cola #KO american stock.

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Forex and stocks supply and demand technical analysis

Marriott International american stock buy opportunities at new demand levels. Very strong monthly demand level took control at $104, the strength of that impulsive move is the strongest one for months on this american stock. Monthly is in an uptrend and there is a very strong monthly demand in control, no shorts are allowed.

There is also a weekly demand level located around $100 right within that monthly demand that is also in control and playing out. In an uptrend we buy demand levels and that is what is going on right now on Marriott International american stock. We are looking to go long again if we get new demand zones created.

This supply and demand technical trading analysis and bias could help you make a more educated trading decision in your own trading strategy since you now know there is a very strong bullish bias with such a strong monthly demand imbalance in control and new demand zones being created in lower timeframes.

We do not take into consideration any fundamental analysis, no earnings announcements or volume, we do not need any of that to make a trading decision based on supply and demand imbalances. We just need to know where those imbalances are located and what is the bigger picture trend on the stock.

You can also use various options strategies to take longs at demand imbalances, long calls, spreads or any other strategy that you might have on your trading plan.



Forex and stocks supply and demand technical analysis

Gold futures GD sell opportunities from monthly supply imbalance located at $1310.The exact same look for XAUUSD spot market and XAUUSD CFD. There is a very strong monthly supply level that was created after a very strong drop in price last April 2018, almost one year later price has returned to it.

The supply and demand technical analysis and basic core rules do not allow to buy when a bigger timeframe supply has gained control. No longs are allowed. Potential shorts in the form of new lower timeframe supply levels can be formed on the way down which can provide us with new short trading opportunities on Gold futures and related assets.

As of writing, the yellow metal is trading at $1,304 per Oz. The dollar index (DXY), which tracks the value of the American currency against majors, is currently trading at 96.42; up 1.3 percent from the low of 95.15 seen on Jan. 31.

We don't need fundamental analysis in order to make a trading decision when we analyse the markets using supply and demand imbalances. We can see that Gold futures is out of balance with a fresh monthly supply zone in control. It does not matter if JP Morgan is bearish or bullish on gold. Analysts at JP Morgan believe 2019 could turn out to be an asset-reflation year, courtesy of the Fed's dovish shift. As a result, classic safe-haven assets like gold could remain under pressure.
We just don't pay attention to what analysts have to say about Gold futures or any other asset. strong monthly supply is in control? Short bias



Forex and stocks supply and demand technical analysis

AUDUSD Forex cross pair forecast. AUDUSD is reacting to a weekly supply level located around 0.7232 price area. Price has reacted strongly to that weekly supply zone creating brand new imbalances on lower timeframes like the daily chart. There is a new daily supply zone created around 0.7226 as a reaction to weekly supply zone.
Weekly timeframe is still in a downtrend.

Dollar Index is getting stronger as well creating new daily demand imbalances in a big picture uptrend. We don’t need fundamental analysis in order to make a trading decision when we analyse the markets using supply and demand imbalances.



Forex and stocks supply and demand technical analysis

Forex major EURGBP is dropping from higher as weekly is in a downtrend and removing opposing demand zones. In a downtrend supply imbalances are created and respected and demand zones are eliminated so short bias on EURGBP as price continues to drop.



Forex and stocks supply and demand technical analysis

Forex major EURUSD is dropping strongly, removing opposing demand and creating brand new levels of supply for shorts. We score our imbalances on many factors, one of them is strength of departure and here we have a great departure. In a downtrend demand zones are removed and supply levels are respected so short bias right now on EURUSD as price continues to drop.



Forex and stocks supply and demand technical analysis

Brent Crude Oil Futures has a monthly demand level located around $50.38 that gained control a couple of months ago. The fact that we have had that monthly imbalance in control allowed us to make too decisions. 1) No shorts would are allowed trading against a big timeframe demand imbalance that has gained control. 2) Only longs would be allowed. As explained in previous Brent Crude Oil Video analysis

Brent Crude Oil has been rallying for a few weeks now creating a new weekly demand level around $53.91 and potentially creating a new one slightly higher around $62.00 a barrel. There is a clear long bias providing buy opportunities on Brent Crude Oil Futures, a lot margin for profit on the way up to monthly supply zone around $77.00 a barrel

We do not take into consideration any fundamental analysis to trade futures, no earnings announcements or volume, we do not need any of that to make a trading decision based on supply and demand imbalances. We just need to know where those imbalances are located and what is the bigger picture trend on the stock.

Still if you pay attention to news, in the beginning of February Oil prices have fallen after disappointing US factory data sparked fresh concerns about a slowdown in the global economy. Brent crude futures dropped 0.2% to $62.6 a barrel, and US West Texas Intermediate fell 1.4% to $54.48 a barrel. Oil prices had been buoyed by a new round of supply cuts from Opec and its allies.

Can we really make sense out of this Brent Crude Oil news? Maybe you can, but do we really need it? No we don’t. Price reached a very strong monthly demand level, we are allowed to buy Brent Crude Oil but we are not allowed to sell it.

You can also use various options strategies to take longs at demand imbalances, long calls, spreads or any other strategy that you might have on your trading plan.



Brent Crude Oil supply and demand analysis

Light Crude Oil WTI Futures #CL has a monthly demand level located around $48.64 that gained control a couple of months ago. The fact that we have had that monthly imbalance in control allowed us to make too decisions. 1) No shorts would are allowed trading against a big timeframe demand imbalance that has gained control. 2) Only longs would be allowed. As explained in previous Crude Oil video analysis

Light Crude Oil has been rallying for a few weeks now creating a new weekly demand level around $45.54 and potentially creating a new weekly demand levels if price continues to rally. There is a clear long bias providing buy opportunities on Light Crude Oil Futures, a lot margin for profit on the way up to weekly supply zone around $73.25 a barrel

We do not take into consideration any fundamental analysis to trade futures, no earnings announcements or volume, we do not need any of that to make a trading decision based on supply and demand imbalances. We just need to know where those imbalances are located and what is the bigger picture trend on the stock.

Still if you pay attention to news, in the beginning of February Oil prices have fallen after disappointing US factory data sparked fresh concerns about a slowdown in the global economy. Brent crude futures dropped 0.2% to $62.6 a barrel, and US West Texas Intermediate fell 1.4% to $54.48 a barrel. Oil prices had been buoyed by a new round of supply cuts from Opec and its allies.

Can we really make sense out of this Light Crude Oil news? Maybe you can, but do we really need it? No we don’t. Price reached a very strong monthly demand level, we are allowed to buy Light Crude Oil but we are not allowed to sell it.

You can also use various options strategies to take longs at demand imbalances, long calls, spreads or any other strategy that you might have on your trading plan.



Light Crude Oil supply and demand analysis

Forex major GBPUSD broke descending trendline and created a brand new demand imbalance nested at weekly demand which could create a good opportunity for long trades if price reacts positively. In an uptrend supply levels are removed and demand zones are created and respected so as demand is being created we must look for longs.



Forex and stocks supply and demand technical analysis

Forex major EURUSD is very high in the weekly range and could drop and create brand new supply zone son the lower timeframes. So short bias right now since supply is being respected and demand zones are being removed.



Forex and stocks supply and demand technical analysis

Forex cross pair EURCAD rallied strongly on the daily and created a brand new demand impulse by breaking the descending daily trendline. Price is very low in the weekly range and this could be the start of longs if new opportunities are created. In an uptrend supply levels are removed and demand imbalances are created and respected so long bias right now on EURCAD.



Forex and stocks supply and demand technical analysis

EURGBP Forex cross pair sell opportunity is playing out in a clear weekly and daily downtrend creating new supply zones on the way down. Weekly supply zone around 0.897 is in control, price dropping very fast once that imbalance was reached a few weeks ago. This short trade was mentioned a few days ago in a an updated EURGBP supply and demand analysis HERE

We can't and should not go long when a bigger timeframe supply level has gained control. As mentioned in previous analyses and video analyses (updated more frequently in the trading community), we had a short bias on EURGBP forex cross pair, looking to go short at new daily supply zones. Last two daily supply zones have had a strong imbalance created and playing out for now quite nicely.

There is a clear downtrend, no longs are allowed on EURGBP, only shorts with the bigger picture downtrend on this Forex cross pair. We don't need any indicators in order to plan a trade, just pure supply and demand imbalances.

WATCH VIDEO ANALYSIS HERE

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Indian Oil Corp #IOC NSE stock is presenting new buy opportunities after reaching monthly demand level around 108, following suit what Brent Oil and Light Crude Oil are doing, all three reacting to monthly demand levels.

There is a clear long bias with a very strong reaction from that monthly demand imbalances, a very strong monthly pin candle has been created four months ago. That reaction has created a new weekly demand level around 134. No shorts are allowed in this oil related Indian NSE Stock, Indian Oil Corp IOC has a clear long bias now.

Very strong weekly supply level created, no reasons to go short. Tested weekly supply imbalance under attack around 154.
We don’t need any kind of lagging o non lagging indicators, no earnings, just pure supply imbalances.

WATCH VIDEO ANALYSIS HERE

Hindustan Petrol oil related NSE stock buy opportunities with new weekly demand level created around 233, following suit what Brent Oil and Light Crude Oil are doing, all three reacting to monthly demand levels.There is a clear long bias with a very strong reaction from a monthly demand imbalance around, a very strong monthly pin candle has been created four months ago. That reaction has created a new weekly demand level around 175. No shorts are allowed in this oil related Indian NSE Stock, Hindustan Petrol HINDPETRO has a clear long bias now.



Forex and stocks supply and demand technical analysis

Forex cross pair EURCAD rallied from lower and created a new level of demand for potential longs if price decides to retrace. Higher timeframe demand is in control and new levels of demand are being created and respected. In an uptrend supply levels are removed and demand zones are respected so long bias right now on EURCAD.



Forex and stocks supply and demand technical analysis

S&P 500 e-mini futures ES is offering buy opportunities with weekly demand level around $12737 in control. It took two weeks for new weekly demand to be formed after eliminating very badly structured weekly supply around $2820. There is nothing to stop price from rallying to S&P500 e-emini futures upper weekly supply zone around 2907.

No shorts are allowed, only longs at new areas of demand. If you are trading other trading strategies or even options, you can use this S&P500 e-mini futures analysis as an extra point to support your longs. We do not use any kind of indicators, we do not need indicators to plan a trade using supply and demand imbalances but if you use them, this analysis can help you.

You can use options to plan your trades, plain vanilla short term or longer term longs calls or bullish spreads to buy S&P500 e-mini futures. No shorts are allowed. Bullish bias.



WATCH S&P500 E-MINI FUTURES VIDEO SUPPLY AND DEMAND ANALYSIS HERE

Russell 2000 futures is offering buy opportunities with weekly demand level around $1523 in control. There is nothing to stop price from rallying to Russell 2000 futures upper weekly supply zone around $1712.

No shorts are allowed, only longs at new areas of demand. If you are trading other trading strategies or even options, you can use this Russell 2000 futures analysis as an extra point to support your longs. We do not use any kind of indicators, we do not need indicators to plan a trade using supply and demand imbalances but if you use them, this analysis can help you.

You can use options to plan your trades, plain vanilla short term or longer term longs calls or bullish spreads to buy Russell 2000 futures. No shorts are allowed. Bullish bias

WATCH RUSSELL 2000 VIDEO SUPPLY AND DEMAND ANALYSIS HERE

EURUSD forex cross pair has started to drop again reacting to weekly supply level in control around 1.1404. Weekly is in a downtrend and there is a lot of room for EURUSD cross pair to keep on dropping even further.

There are new H4 and H1 supply levels being created with weekly supply imbalance in control. New H4 imbalance around 1.1364 and H1 supply zone slightly higher. There is no reason to think of going long on EURUSD cross pair, no matter what the news or fundamentals tell us about it.

In a downtrend, supply zones are created and respected, demand levels are eliminated. Short bias at new supply level son EURUSD forex cross pair.

WATCH EURUSD VIDEO ANALYSIS HERE

Abercrombie & Fitch ANF american Stock short opportunity at weekly supply level. Abercrombie weekly supply level around $27 per share has taken control, the imbalance is very strong with lot of room for price to keep on dropping much lower to lower weekly demand level. There is a great daily supply level around $27 that also gained control. Nothing to stop price from falling at least until $21.50.

As supply and demand traders, we do not need to pay attention to the news, fundamentals or any earnings reports. Once a big timeframe imbalance has gained control, earnings do just the opposite and reacts strongly to those imbalances. Why is it that you see positive earnings and then the underlying stock drops like a rock, or a negative earnings announcement and the stock rallies like a rocket out of control? You are probably missing the fact that there are big imbalances gaining control.

You can use these imbalances to plan your trades in lower timeframes. There are several ways of buying stocks. When trading stocks, you can buy shares of the underlying stock or use options strategies to go long or short at these specific supply and demand levels, long calls or long puts or spreads.

WATCH ABERCROMBIE & FITCH VIDEO ANALYSIS HERE

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SGDJPY Forex Cross Pairs dropping with new supply levels imbalances being created. Weekly supply level around 82.27 has gained control, price is reacting to it creating weekly bearish engulfing patterns and new daily supply level around 82.48. That last daily supply imbalance has taken control a few days ago and had price drop very sharply from it.New supply levels are being created on lower timeframes, no longs are allowed on this SGDJPY Forex cross pair with daily and weekly supply imbalances in control. No need to use any lagging indicators, volume analysis or take into account fundamentals or earnings releases, we trade only supply and demand imbalances using a predefined mechanical set of rules.

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Forex and stocks supply and demand technical analysis