Supply and demand in a nutshell by Alfonso Moreno

Tesla TSLA american stock buy opportunities with weekly demand zone at $260 per share is in control. Very sharp reaction this week on Tesla stock, price kissed weekly demand imbalance and rallying strongly, almost $20 this week.



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.

On Tesla american stock we had earnings last 30th January 2019, it was 25.41% worst than expected, 0.78 over estimated 1.05. What happened after a few days, price dropped to weekly demand level at $260 and rallying strongly. Earnings? What for? Unless you are doing very short term trading and scalping, you should not worry about fundamentals or earnings announcements.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.

Forex and stocks supply and demand technical analysis

Boeing BA american stock dropped to strong weekly demand imbalance located around $366 per share. Clear uptrend on the weekly and monthly timeframes with new demand levels being created and supply levels being eliminated. There is no reason to go short no matter how bad the news are on Boeing stock due to the last two unfortunate plane crashes in the last months were so many people died. I don’t think big investors take that into consideration, the retailers will because they will see bad news on all media, fear will take over and they will sell their Boeing shares. What happens then? Those are the sellers that big investors need to go long.
Where did price drop after last unfortunate accident? Price dipped to a very strong weekly demand imbalance located around $366 per share. Boeing stock has already reacted to that demand level, it rallied more than $10 since it reached that demand imbalance.

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.

WATCH BOEING SUPPLY AND DEMAND VIDEO ANALYSIS HERE

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Forex pair NZDUSD is dropping and creating brand new supply levels on the daily for potential shorts. At set and forget we want to lean on strong imbalances using clear scenarios along with other parameters mentioned in the community. In a downtrend supply zones are respected and demand levels are removed. Short bias on NZDUSD right now as price continues to drop.


Forex and stocks supply and demand technical analysis

Forex NZDUSD supply and demand analysis forecast with weekly supply level in control and new imbalances being created on the way down to opposing weekly demand level. There is a clear short bias on NZDUSD Forex cross pair with new supply zones being created and demand being eliminated.

Price fell short of retracing to last daily supply level, trying to break lower with weekly supply level in control. Supply and demand technical analysis tells us that only selling NZDUSD Forex cross pair is possible based on the creation of new strong supply levels.

As supply and demand traders, we do not need to pay attention to the news, fundamentals or any earnings reports.

WATCH NZDUSD SUPPLY AND DEMAND ANALYSIS HERE

Forex cross pair AUDNZD broke descending trendline and created two brand new levels of demand for potential longs. In an uptrend we want to see demand zones being created and respected as well as supply imbalances being removed so long bias right now on this pair.



Forex and stocks supply and demand technical analysis

CVS Health Corporation is american stock pharmacy operator offering nice sell opportunities at new supply imbalances created on both the weekly and the monthly timeframes with everything pointing down in a clear downtrend with new supply levels being created and demand levels being eliminated. Strong imbalances created on the way down.

Two new supply levels have been created on the monthly and weekly charts. Monthly supply imbalances is located around $64 per share and weekly supply imbalance is around $65 per share.

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.

Unless you are doing very short term trading and scalping, you should not worry about fundamentals or earnings announcements.
You can use these imbalances to plan your trades in lower timeframes. Trading is just waiting for the right trigger points and scenarios to present themselves, this game has got a name and it’s called the waiting game. We need to patiently wait for the correct scenarios and setups to happen and wait for price to pullback or dip into the price levels we want to trade, in our case supply and demand imbalances.

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. You can even buy a CFD (contracts for difference) if you are in a country where it’s allowed.

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Forex and stocks supply and demand technical analysis

If you still want to take earnings into account, it has not been good for CVS Health Corporation lately, read below some of this fundamental analysis…
In a note to investors previewing the healthcare services sector’s first quarter, analyst David MacDonald said he expects a challenging year for the Woonsocket, Rhode Island-based company, but pointed to “a unique collection of assets.” He said he expected CVS’s first-quarter results to reflect a handful of challenges, including reimbursement pressure, fewer generics, lower brand inflation.

“While 2019 is expected to be difficult,” MacDonald wrote, “we remain positive on CVS’ underlying value proposition tied to its integrated pharmacy/medical benefits, unique set of assets, meaningful patient touch points, and strong clinical programs, and view the company as well positioned to bend the cost curve over time.
Can you really make sense out of those statements? I just can’t. That’s a very thick layer of complexity you would be adding to your trading plan. We have to make easier and faster decisions that don’t lean on suppositions or forecasts based on X and Y fundamentals data. Everything is pointing down, so short bias.

Some information about CVS Health Corporation
CVS Health Corporation provides health services and plans in the United States. Its Pharmacy Services segment offers pharmacy benefit management solutions, such as plan design and administration, formulary management, retail pharmacy network management, mail order pharmacy, specialty pharmacy and infusion, Medicare Part D, clinical, disease management, and medical spend management services. The company’s Retail/LTC segment sells prescription drugs and general merchandise, such as over-the-counter drugs, beauty products, cosmetics, and personal care products, as well as provides health care services through its MinuteClinic walk-in medical clinics. Its Health Care Benefits segment offers traditional, voluntary, and consumer-directed health insurance products and related services, including medical, pharmacy, dental, behavioral health, medical management, Medicare plans, PDPs, Medicaid health care management services, workers’ compensation administrative services, and health information technology products and services.

Gold XAUUSD sell opportunities with monthly and weekly supply imbalances in control. A very strong monthly supply level around $1310 has gained control a few weeks together with a smaller but stronger supply imbalance on the weekly timeframe around $1336. As explained in previous long term analysis on GOLD XAUUSD, no longs are allowed in this precious metal when a bigger timeframe has gained control.

Location and context are key to understanding when we are allowed to place a trade in one direction or another. No longs are allowed on Gold right now, only shorts at new supply imbalances.

This is affecting many gold related stocks like Kinross Gold KGC, Yamana Gold AUY, Barrick Gold GOLD amongst others american NYSE stocks.



Forex and stocks supply and demand technical analysis

Walgreens WBA supply and demand technical analysis is showing a clear short bias with new strong supply levels created on all bigger timeframes. There is no reason to go long right now on Walgreens WBA american stock, only shorts are allowed at new strong imbalances.

Very strong bearish impulses on the weekly and monthly charts have been created and eventually become supply zones as per our core supply and demand trading strategy. These new supply zones have been created around $62 and $70.50. Price is going to take some time to retrace to the lower supply zone, new supply imbalances could be created on the way down on the weekly, daily and lower timeframes.

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.

Unless you are doing very short term trading and scalping, you should not worry about fundamentals or earnings announcements.
You can use these imbalances to plan your trades in lower timeframes. Trading is just waiting for the right trigger points and scenarios to present themselves, this game has got a name and it’s called the waiting game. We need to patiently wait for the correct scenarios and setups to happen and wait for price to pullback or dip into the price levels we want to trade, in our case these price levels are made of supply and demand imbalances.

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. You can even buy a CFD (contracts for difference) if you are in a country where it’s allowed.

NIFTY Bank Index is comprised of the most liquid and large capitalised Indian Banking stocks. It provides investors and market intermediaries with a benchmark that captures the capital market performance of Indian Banks.

Nifty Bank has been rallying for weeks breaking all time highs at 28400 a few weeks ago. There is a very strong weekly demand imbalance created once those all time highs were broken. This weekly demand level is located around 27211 price area. The imbalance is pretty strong. Long term longs will be possible at this new imbalance is price retraces and market conditions are trend are the same.

There are shorter term opportunities created in shorter timeframes, this analysis is done for a single timeframe, the weekly chart. In an uptrend new demand levels are created and respected, supply levels are eliminated in an uptrend. There is no reason to go short in the short/medium term unless you are a scalper and trading the very lower timeframe imbalances.



If Nifty Bank is rallying strongly and is made of the most liquid and large capitalised Indian Banking stocks like Kotak Bank, SBIN, ICICI Bank, Axis Bank and others. Expect those Indian Banking stocks to rally and create new demand levels imbalances.



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.

Unless you are doing very short term trading and scalping, you should not worry about fundamentals or earnings announcements.
You can use these imbalances to plan your trades in lower timeframes. Trading is just waiting for the right trigger points and scenarios to present themselves, this game has got a name and it’s called the waiting game. We need to patiently wait for the correct scenarios and setups to happen and wait for price to pullback or dip into the price levels we want to trade, in our case these price levels are made of supply and demand imbalances.

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.

Nifty Bank Index supply and demand technical analysis

SP500 SPY ETF supply and demand analysis and forecast for 22nd April 2019. SP500 SPY ETF is trying to break weekly supply at all time highs around 293.

There is a clear long term weekly and monthly uptrend with all time highs previously eliminated and brand new demand zones created on bigger timeframes like the one on the weekly timeframe around 281.In an uptrend, supply levels are eliminated and demand levels are created and respected.

SP500 SPY ETF has already broken all time highs, expecting to see similar price action on other american indexes like Dow Jones and Russell 2000 indexes.
The bigger the impulse created by new imbalances of demand the better. There is no reason to go short counter-trend on SP500 SPY ETF when everything is heading north and new demand levels are being created. Trading with the trend is always higher odds.



SP500 SPY ETF supply and demand technical analysis

Forex major USDCHF is rallying strongly on the daily and creating brand new levels of daily demand for potential longs if price retraces. In an uptrend supply levels are removed and demand zones are respected.All this price action on the daily timeframe is happening in a monthly and weekly uptrend with new demand zones being created and respected together with a dollar index DXY trying to break higher.



USDCHF Forex Cross Pair supply and demand forecast

NASDAQ QQQ ETF supply and demand analysis and forecast for 22nd April 2019. NASDAQ QQQ ETF has broken all time highs around 187 again after a strong correction that lasted a few weeks.

There is a clear long term weekly and monthly uptrend with all time highs previously eliminated and brand new demand zones created on bigger timeframes like the one on the weekly timeframe around 180. In an uptrend, supply levels are eliminated and demand levels are created and respected.
NASDAQ QQQ ETF has already broken all time highs, expecting to see similar price action on SP500 SPY ETF and other american indexes like Dow Jones and Russell 2000 indexes.

The bigger the impulse created by new imbalances of demand the better. There is no reason to go short counter-trend on NASDAQ QQQ ETF when everything is heading north and new demand levels are being created. Trading with the trend is always higher odds.



NASDAQ QQQ ETF supply and demand technical analysis

EURUSD Forex major cross pair forecast and supply and demand technical analysis tell us the only way to trade EURUSD major cross pair is selling at new supply levels created. EURUSD has been trying to break lower and it did this week dropping strongly created a nice daily supply level where shorts will be possible if there is a retracement. Else shorts at new supply levels if price continues to drop.

There have been three supply imbalances created on EURUSD Forex cross pair lately, price retraced to one of them around 1.3000, two more supply zones have been created lower around 1.1280 and 1.1238. There is a lot of room for EURUSD Forex major to keep on dropping on the way to monthly demand level much lower.

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.



EURUSD FOREX MAJOR CROSS PAIR SUPPLY AND DEMAND FORECAST

Russell 2000 IWM ETF Fund has a clear long bias with new weekly demand imbalance in control. Price retraced to weekly demand level around 151.50 and reacted strongly to it creating lower timeframe demand zones on the daily and even lower timeframes. There is a clear long bias on this ETF Fund. Lot of room for price to rally all the way up to weekly supply imbalance around 170.50.

Russell 2000 IWM ETF fund is behaving as other american indexes and Funds



RUSSELL 2000 IWM INDEX ETF SUPPLY AND DEMAND FORECAST

Forex exotic EURNOK is rallying on the daily, breaking the descending trendline and creating brand new demand for potential longs. In an uptrend supply levels are removed and demand zones are respected so long bias right now on EURNOK.



EURNOK FOREX CROSS PAIR SUPPLY AND DEMAND FORECAST

Dow Jones ETF DIA is trying to break weekly supply imbalances located at all time highs. Supply and demand technical analysis tell us that we expect that supply zone between 262 and 269 to be eliminated. A similar scenario has happened on Nasdaq with its weekly supply level eliminated as expected.
Weekly demand around 254 gained control as expected. Longs at new demand levels in lower timeframes are possible. Longs if weekly supply level is eliminated or new lower timeframe demand imbalances are created in this attack to weekly supply.



DOW JONES DIA INDEX ETF SUPPLY AND DEMAND FORECAST

See below EURCAD Forex cross pair top down analysis supply and demand forecast. The big picture trend on EURCAD Forex cross pair is longs, we are not allowed to sell EURCAD based on a supply and demand trading strategy because there is a weekly demand level in control making price print higher highs.This weekly demand imbalance is located around 1.4695, this level is being respected whereas lower timeframe supply levels are being eliminated. There is no reason to go short on EURCAD Forex cross pair based on a supply and demand technical analysis. We are expecting price to rally higher above weekly highs eliminating lower timeframe supply imbalances and creating new levels of demand.



EURCAD FOREX CROSS PAIR SUPPLY AND DEMAND FORECAST

AUDSGD Forex cross pair short bias forecast, new supply imbalances are being created and respected on the daily chart and so is happening on bigger timeframes. There is no reason for thinking of buying AUDSGD Forex cross pair, everything is pointing down using supply and demand technical analysis. Australian Dollar to Singapore Dollar Forecast is short biased.



AUDSGD FOREX CROSS PAIR SUPPLY AND DEMAND FORECAST

On this short video you will see learn a few things on how to trade stocks using supply and demand imbalances. We do not need any lagging indicator to make a trading decision using supply and demand imbalances. These imbalances are created on every asset, on stocks and equities, commodities, Forex, ETFs, etc.
This technical analysis video has no intention to tell you where to buy or sell on this stock, it’s giving you some hints on what kind of price action and impulses you need to be looking for in order to locate potential supply and demand imbalances.

One of the most important features of an imbalance is the strength of the impulse originated at the origin of the move. You will be able to distinguish how strong an impulse is by reading price action and candlesticks. Look for several consecutive and very wide candlestick bodies, it will probably be an imbalance. Compare previous price action with current price action, put those candlesticks against each other and calculate how much time price took to rally and how much it took to drop. Time is very important when trading these levels as explained in this video.

As you can see on Las Vengas Sands #LVS stock, there is a very strong monthly bearish impulse around $70 per share, this is the kind of strength we should be looking at when trading supply and demand imbalances. Price is falling short of retracing to that monthly supply level and dropping sharply creating supply levels on lower timeframes.

Trading supply and demand imbalances is ideal for beginners and those with a full or half time job, you won’t need to stay in front of the computer all day long trying to move price action with your mind.

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.

Unless you are doing very short term trading and scalping, you should not worry about fundamentals or earnings announcements.