In my previous chart, I said that we were on a falling wedge. A falling wedge mostly breakout on the upside. The problem is we are NOT on a wedge but a channel and a bearish one at that. A bearish channel can breakout on the upside and downside so we have a 50/50 chance for either one of those scenario to play out.
The crucial part in all this is to identify where the crossroad is. By knowing that, we can pull out from the market before the road splits (reaping some profits along the way), take some time to see where the trend leads before getting back in - and that crossroad is around 8300 (give or take). You can pull out earlier too if you want to play safe but there are a couple hundred bucks to reap from here to there so I leave that to you.
On the upside, the bulls will send us flying to 9600-10000. On the downside, the bears will claw us down to 6200 and maybe even 6000. The first time we touched 6000 was back in early February so touching it again this time will make it a double bottom, which may signify the end of the bear cycle if the price holds above it.
If you find value in this post, please give me a like and follow me. Happy trading!
The crucial part in all this is to identify where the crossroad is. By knowing that, we can pull out from the market before the road splits (reaping some profits along the way), take some time to see where the trend leads before getting back in - and that crossroad is around 8300 (give or take). You can pull out earlier too if you want to play safe but there are a couple hundred bucks to reap from here to there so I leave that to you.
On the upside, the bulls will send us flying to 9600-10000. On the downside, the bears will claw us down to 6200 and maybe even 6000. The first time we touched 6000 was back in early February so touching it again this time will make it a double bottom, which may signify the end of the bear cycle if the price holds above it.
If you find value in this post, please give me a like and follow me. Happy trading!
Trade closed: target reached:
We have fallen off the channel and I have made a new chart. Click the chart below:
