Trading today is unfolding with a cautious undertone. Technical analysts note that many stocks have rallied from their lows and are now approaching significant resistance zones, while weekly candles on $SPY and $QQQ appear relatively bearish. Traders are raising stop-loss levels to protect gains.
Why It Matters
Technical analysis provides a framework for identifying entry and exit points, especially when the market is in a phase of testing key levels. Combining Wave analysis with volume profiles and Fibonacci levels helps traders assess the likelihood of trend continuation versus a correction.
What the Experts Are Saying
@AsafNaamani points out that $OXY is holding Wave 5 Fibonacci support on the weekly chart and has broken out of the downtrend, viewed as the first step toward a new uptrend. In contrast, $ONDS was rejected at the $8.32 resistance and is retesting support at $7.78, with further supports near $7.40 and $7.10 if that level breaks.
$GOOG has entered a confluence support zone (Volume Profile POC at $315 plus the 200-day moving average and an uptrend support line), and traders are watching closely to see if it holds. In $KOS, a higher low formed at the 0.5 Fibonacci retracement, and a breakout above $2.38 could open the next leg higher. $PSX has gained 13% since July 8 and is heading toward a $229.24 target.
@MMatters22596 emphasizes that semiconductor and AI-related names, including $NVDA, $AMD, and $MU, remain well below their all-time highs and have not yet bottomed, further downside is expected before potential entries.
The overarching theme is the integration of classical technical analysis with Elliott Wave counting, particularly in Wave 3 expansion zones where institutional buying aligns with improving fundamentals.
The Bottom Line
Today's technical discussion centers on more cautious risk management, with emphasis on specific support and resistance levels in energy, technology, and industrial names. The market is in a testing phase, and traders are waiting for confirmation of breakouts or breakdowns before increasing exposure.
