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BAC Testing Channel Resistance - Exhausted? Or First Leg of B/O?

NYSE:BAC   BANK AMER CORP
A longer term channel (darker blue) as well as the shorter term channel are both being tested at the very strong resistance.

Also, there is a strong horizontal price magnet at 16.20, probably will hold.

Obviously we saw on Thursday the very strong bull spike. Price action would probably say this is an exhausted bull .

However, we may also get a short term trading range (barb wire?) and then it could bounce off the 16.20 level to the upside, in which case we'd have a bull b/o with a probable sell off around 16.50 ( TR             ) and 18 (swing high).

I would sell a close 1 tick below Friday's low (16.05), but a lot of traders may decide to short once it breaks 16.

We'll just have to wait

UPDATE 8-26: Doji top at a resistance slightly above the one drawn. Also, the resistance is at about a 61.8 level and approaching the pitchfork median line

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