Price has reached the important trendline going back to the all time high
late last year. Bulls would like to see a clear break of it and also a move
above the Cloud and the SMA200, currently at 9600. Normally these
types of trendline breaks will be retested, either by the breakout level or
the trendline itself, but at rarer cases it will be left behind alltogether.
Right now price is hesitating but chances are we will atleast see a test of
the Monthly pivot point at 8400 as it stands within reach of a spike. If price
fails to break above, it could spur a nervous sell off and a move back to the
current lows. If it breaks above and holds, this will be a trendshift, especially
if price also establish itself above the Kumo Cloud and the SMA200. We have
to wait for more clarity. The hourly candle yesterday had a volume almost as
high as the Feb 2 low, so this may hint that a bottom has been formed. Also,
since the support level is so well carved out, it is easy to place a stop below
it and define the risk, should one buy at current levels. But it is probably more
wise to wait for a clear break, before committing to a long trade.
late last year. Bulls would like to see a clear break of it and also a move
above the Cloud and the SMA200, currently at 9600. Normally these
types of trendline breaks will be retested, either by the breakout level or
the trendline itself, but at rarer cases it will be left behind alltogether.
Right now price is hesitating but chances are we will atleast see a test of
the Monthly pivot point at 8400 as it stands within reach of a spike. If price
fails to break above, it could spur a nervous sell off and a move back to the
current lows. If it breaks above and holds, this will be a trendshift, especially
if price also establish itself above the Kumo Cloud and the SMA200. We have
to wait for more clarity. The hourly candle yesterday had a volume almost as
high as the Feb 2 low, so this may hint that a bottom has been formed. Also,
since the support level is so well carved out, it is easy to place a stop below
it and define the risk, should one buy at current levels. But it is probably more
wise to wait for a clear break, before committing to a long trade.
