Yesterday I pointed out a support cluster from $9,000 - $9,200 and mentioned that it could be a good spot to build a long. I wanted to see the price to stay above the blue dotted trend line and then expected a good bounce from there.
I was expecting to see support from the follow:
Horizontal support from $9,000 - $9,200
Trend support (blue dotted line)
Support from Ichimoku Cloud
Multiple reversal dojis
Instead the slow grind downward has continued and now we have broken down through the trend line, the Ichimoku Cloud and were unable to bounce off of the reversal dojis. The last line of defense for the bulls is the horizontal support from $9,000 - $9,200. If that breaks down then it is time to execute the stop loss.
On the other hand it looks like we just completed an “A-B-C-D” correction and that is a good indication for an upcoming bounce. I am still holding onto my long from an average price of $9,645 and will be cautiously managing the stop.
If not in a position it is probably a good idea to wait for the market to develop further.
Happy trading and go bulls!
I was expecting to see support from the follow:
Horizontal support from $9,000 - $9,200
Trend support (blue dotted line)
Support from Ichimoku Cloud
Multiple reversal dojis
Instead the slow grind downward has continued and now we have broken down through the trend line, the Ichimoku Cloud and were unable to bounce off of the reversal dojis. The last line of defense for the bulls is the horizontal support from $9,000 - $9,200. If that breaks down then it is time to execute the stop loss.
On the other hand it looks like we just completed an “A-B-C-D” correction and that is a good indication for an upcoming bounce. I am still holding onto my long from an average price of $9,645 and will be cautiously managing the stop.
If not in a position it is probably a good idea to wait for the market to develop further.
Happy trading and go bulls!
emasar Indicator is available for purchase at alphanalysis.io/product/emasar/