The fact that we are looking at the beginning of the corrective movement is confirmed by the following factors:
1. Break the
2. Break of moving averages with periods of 30, 50 and 100
3. Divergence on oscillators and trading volumes ended
The overall situation has ceased to be , the correction has begun and the main question is - at what level will it end? If we recall the experience of previous corrective movements, they usually took place in 3 impulses. That is why there is practically no doubt that there will be at least one more impulse movement down in the short term.
It is very likely that the local target for sellers will be a key level of $7200. At this point that it will become clear how deep the correction will be. If he does not stand, then the next bears target will be the area of $ 6400-6500. Nevertheless, there is reason to believe that $ 7200 will stand. At this mark strong local fall was bought off in mid-May.
$8,300 will be the next strong resistance level.