$DJT Intermediate Swing Trade Recap & Setup | Key VWAP Levels, Trends, and Profit Targets

14 days ago
14

The intermediate swing trade setup played out perfectly for a low-risk entry. The trade began as a cheat entry below the 5-Day MA, targeting a gap fill and initial profit-taking. However, the real setup kicked off at the start of this week. The Daily VWAP acted as a critical level, and bulls immediately gained control, pushing price higher as the Institutional Money Line (VWAP) ripped upward.

The definition of a trend—higher highs and higher lows (for bullish trends) or lower lows and lower highs (for bearish trends)—held true. This week, price established higher highs and higher lows, consistently trading above a rising 5 DMA. Toward the end of the week, profit-taking occurred at a key level near the All-Time High (ATH) VWAP, where price made a slight breakout to a new high.

As they say, "From failed moves come fast moves," and that’s precisely what we saw. Following the recent peak, price pulled off a multi-day VWAP reversal (1- and 2-Day VWAP), breaking through the WTD VWAP and finding buyers near the MTD VWAP.
Current Scenario

On the daily timeframe, the setup continues to play out like a textbook example. Price rallied into the ATH VWAP and is now consolidating. A deeper pullback into the 37 area is the next level to watch. Keep in mind that the MTD VWAP, sitting near 39.44, could act as a demand zone.

If price continues to decline, the 5 DMA slope could flatten out, signaling a more neutral trend. Ideally, a pullback to 37 followed by a bounce into 40 could set the stage for a reclaim, leading to a potential breakout above the recent high at 43.46 for upside continuation.

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