Watching this possible descending triangle. Will continue to monitor and see how this develops.
Comment:
Price action is so far inline with what we assumed might happen. Testing first resistance now at 10854. I personally think this will be broken and we move to 11350 at least before we try to come down again. If this comes down again, I am not expecting bigger bounce around 9500. We might see a small bounce and test 9500 again to fail eventually. Invalidation of this idea is close above down trend line (I will probably wait for weekly close for confirmation).
Comment:
I thought we would cross 10854 one more time, but we had strong rejection at this resistance. Dropped below the support 10101, but moved up and testing the support again. It may be some chop before breaking down eventually.
Comment:
Right at horizontal support. May see a small bounce to $10k if any. Just watching
Comment:
Hello all.. the descending triangle breakdown came close almost to the price we've our red arrow drawn to. Since we're near support for many days and the descending triangle theoretical target is much lower, I will watch to see if this support holds which feels less likely for me. If we break 7400 on closing basis, I feel it very likely we see a re-test 6k which could provide a short-term bounce.
Trade closed: target reached:
Reached red arrow target area and target hit. On a side note, we saw strong rebound from this target area. Though it is too strong, it is currently backtesting descending triangle support area. I would be cautious and watch how price action develops here.