My earlier targets have been reached as shorting groups expected a 7950 range yet the bulls ran out of steam before this limit was reached. The 55 ema was wicked into 9X, and on the 9th was the final straw to tester lower lows.
We broke out of the neck line on the IHS, with a classic pump to the upside and now starting a reversal pattern. This could go on until mid Sunday with Asia coming on board, which has shown to typically shorting majority.
In the most recent chart I have created price action showing the resistance areas are some mid term areas to look for. We need to close up the weekly above 7900 to avoid a open and close issue below, which if we close below 7900, will signal a more bearish outlook on the weekly. That being said, even if we close above 7900 its an entire week to short it before there is any further upside.
LOW VOL = and price action while descending typically means we will see a reversal short squeeze at some point.
I may leverage short term long in around 7350 and trade up to the 55ema on the 4 hour. However need further confirmation to the downside (dark side) before entering this position.
Good luck!
In the most recent chart I have created price action showing the resistance areas are some mid term areas to look for. We need to close up the weekly above 7900 to avoid a open and close issue below, which if we close below 7900, will signal a more bearish outlook on the weekly. That being said, even if we close above 7900 its an entire week to short it before there is any further upside.
LOW VOL = and price action while descending typically means we will see a reversal short squeeze at some point.
I may leverage short term long in around 7350 and trade up to the 55ema on the 4 hour. However need further confirmation to the downside (dark side) before entering this position.
Good luck!