This time I've made a more detailled chart to share with you :)
Yesterday I posted a chart with the same vision and warned about possible stop-hunts. As we just had the third confirmation of the descending triangle, I think we are headed in a bull-trap.
Also, we can see a clear pattern of rejections at lower highs. This is an indicator for a bearish set up.
I've drawn two possible scenario's, both ending up with a healthy correction. The blue line shows a bullish breakout and a rejection at the RED rectangle. The RSI and MACD on the daily are still showing bearish signals, as both have little room for an other bull-run. Next to that we can see a clear resistance - based on Fibonacci and historical support/resistance levels - between 9k and 10k (RED rectangle). If a volume spike get's in, I can see this move happening. Nevertheless, rejection at these levels due to an exhausted market would be logical.
The support level between 5000/5500 is an important area. IF we dip to these levels we meet up with the 200MA and get in an accumulation area. After we consolidated and grasped some air, I could see a major move to new heights, as the 200MA pushes us upwards creating some pressure.
Yesterday I posted a chart with the same vision and warned about possible stop-hunts. As we just had the third confirmation of the descending triangle, I think we are headed in a bull-trap.
Also, we can see a clear pattern of rejections at lower highs. This is an indicator for a bearish set up.
I've drawn two possible scenario's, both ending up with a healthy correction. The blue line shows a bullish breakout and a rejection at the RED rectangle. The RSI and MACD on the daily are still showing bearish signals, as both have little room for an other bull-run. Next to that we can see a clear resistance - based on Fibonacci and historical support/resistance levels - between 9k and 10k (RED rectangle). If a volume spike get's in, I can see this move happening. Nevertheless, rejection at these levels due to an exhausted market would be logical.
The support level between 5000/5500 is an important area. IF we dip to these levels we meet up with the 200MA and get in an accumulation area. After we consolidated and grasped some air, I could see a major move to new heights, as the 200MA pushes us upwards creating some pressure.
Comment:
Black rectangle = Red rectangle***
