Hey Market Pilot,
The market pullback from the other week also pulled down a lot of tickers. Now that might have been a surprise coming from some of the stronger stocks, but I am going to show you a strong point of the Moxie Indicator™ that can prepare you for such a move.
The “Inverse Trampoline” setup is when price is over the 50 simple moving average (SMA) while the Moxie Indicator™ is below zero, on whatever time frame you are looking at. It can either be a great short entry or an indication of a false long (meaning price isn’t ready to run quite yet).
Here are a few recent examples:
Tesla (TSLA):
Note there were several moves to the upside on the hourly chart, but each one was short-lived since the Moxie Indicator™ was below zero and staying there. Ultimately price fell to the next level of support which was the daily 50 SMA.
Roblox (RBLX):
The jury is still out on this one about the need for price to also fall to the daily 50 SMA like TSLA did. What I can tell you is that the recent pop over the hourly 50 SMA was an Inverse Trampoline setup and therefore wasn’t ready to run.
Matterport (MTTR):
This was a few weeks back, but I wanted to share this. MTTRbasically did the same thing TSLA did with the hourly Inverse Trampoline move, causing price to move to the daily 50 SMA. This turned out to be support, and price was able to run from there. After that we got regular Trampoline setups (arrows) which is where the Moxie Indicator members were able to enter for a sizable move.
DocuSign (DOCU):
Want some short entries? Check out DOCU with a crystal clear daily Inverse Trampoline setup, followed by one on the hourly chart. This led to a complete collapse with the release of the earnings report.
If you find these setups interesting and think the Moxie Indicator™ can help your trading, check it out HERE. I hope some of these setups resonate with you!
Your Profit Pilot, TG
