Why was shorting on that Friday candle a good entry?

The EMAs were trending lower and the stock was continually building lower highs while the market was weak. Although it was showing some relative strength compared with the market indexes, a gap up into the highs and under anchored VWAP (AVWAP) created a very good short entry. Another example was an opening gap in January: the stock gapped above the EMAs while those EMAs were trending lower, producing a strong rejection at anchored VWAP. Those conditions—a weak market, lower-trending EMAs, lower highs, and a gap up into resistance—can create a high-quality short setup.

Source: Back on margin and many yapping | 5 May 2026