In my last post "I may have to give up 5.4k" (Yellow Box on chart) I stated we were entering a 3Day block, and were likely to see a pullback. I also mentioned the very real possibility of us grinding up a bit further into the block before we headed down. That's exactly what happened.
A) We ground up, touching the underside of the 3/1 on the Gann Fan I've been following since 6.4k, and then proceeded to start our correction.
B) We corrected to the 4/1 of our Gann Fan, saw a momentary consolidation, which ended up being distribution, and have since dropped below further....
C) The V Wave formed at B, has given us two targets, both of which providing strong confluence with other methods of TA. The 1.0 Ext has Daily Level Demand resting near it, as well as a 4hr OB. The 1.618 Ext sees us once again testing the 8/1 of our Gann Fan (The bull's last stand line), as well as a Pivot/SR Flip level.
As always, I'll monitor the PA around the levels as we near them, looking for signs of it holding or failing. Should the Bulls fail to hold the 8/1 1.618 Ext level....7.2 is most likely the next target, and possibly even new lows (beyond 6.4k). As always, practice solid risk management, and good luck in your trading!
Short Term Bearish
Medium/Macro Bullish
A) We ground up, touching the underside of the 3/1 on the Gann Fan I've been following since 6.4k, and then proceeded to start our correction.
B) We corrected to the 4/1 of our Gann Fan, saw a momentary consolidation, which ended up being distribution, and have since dropped below further....
C) The V Wave formed at B, has given us two targets, both of which providing strong confluence with other methods of TA. The 1.0 Ext has Daily Level Demand resting near it, as well as a 4hr OB. The 1.618 Ext sees us once again testing the 8/1 of our Gann Fan (The bull's last stand line), as well as a Pivot/SR Flip level.
As always, I'll monitor the PA around the levels as we near them, looking for signs of it holding or failing. Should the Bulls fail to hold the 8/1 1.618 Ext level....7.2 is most likely the next target, and possibly even new lows (beyond 6.4k). As always, practice solid risk management, and good luck in your trading!
Short Term Bearish
Medium/Macro Bullish
