Morning Trend | Phillip Morris experiences intraday fluctuations, is a short-term rebound opportunity approaching after a tug-of-war?
Philip Morris (PM.US) experienced unusual volatility during trading yesterday, quickly dipping in the morning before a large buy order surged in the afternoon, indicating a clear escalation in the divergence between the main players and short sellers. The community was flooded with discussions about "unusual movements of main players," and the short-term sentiment began to heat up, with some funds already positioning themselves in anticipation of a rebound.
From the market and intraday perspective, after the rapid dip in PM's price yesterday, there were three consecutive waves of large orders, indicating that institutions were attempting to "strike at the critical point" and scoop up shares at lower levels. The total trading volume significantly increased compared to the previous trading day, but the closing price remained near the key support level, reflecting a tug-of-war between reluctant short sellers and probing bulls, resulting in a choppy market.
Observing the intraday movements, the volume gradually increased during the rebound, and the price rise was well-coordinated, but the selling pressure above had not yet been fully released. The main players' control increased, with active trading gradually shifting towards the main buying side, and short-term "short squeeze" signals were ignited. Meanwhile, the community's FOMO sentiment was brewing, with speculative funds waiting for sudden policy news or sector linkage to activate higher volatility.
From a technical perspective, after a short-term oversold condition and a volume-driven rebound, PM is expected to test the 10-day moving average and important resistance levels. If funds continue to flow in during today's trading, and the main players quickly cover short positions accompanied by amplified intraday movements, a true rebound climax may be on the horizon, with opportunities for the main players to significantly increase their positions. Conversely, if the volume shrinks or the rebound is hindered by resistance zones, caution is advised as there may be a "trap" for short-term buyers leading to further fluctuations or even declines.
In terms of operational advice, it is advisable to take partial profits and reduce position risks during rapid short-term rallies, and if the volume does not support the rebound, consider reducing positions and observing the market
Technical Forecast·
