Quote Originally Posted by Wei View Post
Hi Billy,

"The last consolidation was broken at Quarterly S1 (45.75) and Quarterly S2 is a logical temporary target for this selling wave."

I am wondering if the above statement can be generalized in your experience. ie. if consolidation happen @ [Q/M/S]N, then a likely support/resistance will occur @ the corresponding N[+/-]1 level.

Thanks.
When humans used to program their own inventory plans, it was fairly reliable. We can just hypothesize that modern algos were build with that experience. Anyway, the longer the calendar period of the support/resistance, the more important it is. We still have the massive resistance of YS1+SS1 (44.77) waiting before QS1 (45.75) could be retested. Without that longer timeframe hindrance, QS1 would have become a logical target.
Billy