Nevertheless, the new upward trend channel provides some trading opportunities, and in the meanwhile, we just need to keep an eye out on trend reversals.
When we zoom in on the graph, we see a nice upward trend channel with up-and down spikes in nice triangle formations. They are always accompanied by a cross in the and in the . Given that we are back at the down part of the trend channel and that we are closing in on a new bull cross, we are likely getting ready for another run up.
Place your targets near the Fibonacci lines drawn and cover your position.
Fibonacci levels (we’re currently at the 2967 or 38,2% level):
- 2851 sat (23,6%)
- 2967 sat (38,2%)
- 3016 sat (50% level)
- 3154 sat (61,8%)
- 3287 sat (78,6%)
Obviously, we absolutely want to have a stop loss for when we would break out of the trend channel, so place those accordingly.
Notice that there is a lot of remaining upward potential apart from the shorter term targets mentioned here. Moreover, we are getting closer to a triangle formation with the support line of the current trend channel as a base!
Zoom out of graph for more targets:
Triangle formation on the channel support:
Place your targets near the upper Fibonacci horizontals, cover your losses near the lower Fibo's and there where the trend would be broken.
Or just go up with it as long as the trend is friendly!
PS: not to be considered as formal trading advice, DYOR
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