We fell through the cloud a couple days ago. Since then we have broken local support (dark green).
Support levels:
Historical support is at roughly 7850 (bottom of light green).
When that fails it'll be straight down to 7080 to 6650.
Direction -
RSI - Still roughly 40, this desperately needs to cool off before we move back up.
MACD - This only appears to be confirming the trend as the lines move further apart.
Ichimouko Cloud - Having fallen through the cloud, we now have a situation where we need to find a solid bottom, gain some liquidity and move back up.
Conclusion -
It's unlikely we'll bounce from 7850 considering the general trend and decreasing volume. It's more likely we'll move down to the bottom historical support. That would should be enough to reset the RSI, allow the MACD to cross and up we go.
Support levels:
Historical support is at roughly 7850 (bottom of light green).
When that fails it'll be straight down to 7080 to 6650.
Direction -
RSI - Still roughly 40, this desperately needs to cool off before we move back up.
MACD - This only appears to be confirming the trend as the lines move further apart.
Ichimouko Cloud - Having fallen through the cloud, we now have a situation where we need to find a solid bottom, gain some liquidity and move back up.
Conclusion -
It's unlikely we'll bounce from 7850 considering the general trend and decreasing volume. It's more likely we'll move down to the bottom historical support. That would should be enough to reset the RSI, allow the MACD to cross and up we go.