Price did reach the Weekly R1 after which it put in a shooting star candle and the
next day we saw price complete the pattern, but it is untriggered until a close
below the 10256. Either way the pattern should ideally sit at the top but now its
more in a sideways configuration, which makes me think its more of a retracement
from the proximity of the 12000 resistance. Today we see price pick up again and
a close above 11235 will erase the pattern and we will likely see a move to the yet
untraded Monthly pivot point at 12215 which it failed to reach on that spike two days
ago. A close below the 9950 (untraded Weekly pivot point) will likely take price back
to the 61,8 fib at 9350. A more likely scenario is that we see price move sideways into
the point of the Triangle before a breakout , reason being the "bearish future" (bearish
projected Cloud) which should have time to move closer to a bullish twist.
On the H4 we saw price fall nicely on the bearish divergence, as was expected and it took
out the minor channel that had been formed. It fell back to the S/R level at 10250 after
which it has bounce up and is now above the Daily pivot point on a close. Intraday
resistance is now at 11100. Perhaps we will see a spike test of the yet untraded Weekly
pivot point at 9950 which would also test the Cloud support but a close below this level
could create a sharper sell off. Bulls would like price to stay above current low and close
above the 11100 and R1 to shake off this drop and shift focus back to the penetration
of the Daily resistance and Cloud at 12000. Note the hidden bullish divergence on H4 which
is a continuation signal.
next day we saw price complete the pattern, but it is untriggered until a close
below the 10256. Either way the pattern should ideally sit at the top but now its
more in a sideways configuration, which makes me think its more of a retracement
from the proximity of the 12000 resistance. Today we see price pick up again and
a close above 11235 will erase the pattern and we will likely see a move to the yet
untraded Monthly pivot point at 12215 which it failed to reach on that spike two days
ago. A close below the 9950 (untraded Weekly pivot point) will likely take price back
to the 61,8 fib at 9350. A more likely scenario is that we see price move sideways into
the point of the Triangle before a breakout , reason being the "bearish future" (bearish
projected Cloud) which should have time to move closer to a bullish twist.
On the H4 we saw price fall nicely on the bearish divergence, as was expected and it took
out the minor channel that had been formed. It fell back to the S/R level at 10250 after
which it has bounce up and is now above the Daily pivot point on a close. Intraday
resistance is now at 11100. Perhaps we will see a spike test of the yet untraded Weekly
pivot point at 9950 which would also test the Cloud support but a close below this level
could create a sharper sell off. Bulls would like price to stay above current low and close
above the 11100 and R1 to shake off this drop and shift focus back to the penetration
of the Daily resistance and Cloud at 12000. Note the hidden bullish divergence on H4 which
is a continuation signal.
