On 17 of June Bears had a successful attempt to reach the level of 9300, but there was just a test of the level. Now the price is moving between 0.5 and 0.328 of Fibonacci.
We are looking on the 1H chart and 'what a surprise' a triangle was formed.
I'm expecting strong volatility in the next few days, there are several reasons for this:
1) The upward movement will cross 200 MA (1H), which will allow the chart to exit the downward channel, reach the level of 9700 (0.618 Fibonacci) and thereby interrupt the downtrend.
2) The downward movement will open the way to the level of 9050 (0.236 Fibonacci). You can see how strong was a resistance in the previous attempt to cross this level. Moreover, this level is close to the boundaries of the rising channel (real turbulence zone). Bears will need a large volume to form a strong impulse to make a break and to continue the downward movement.
In this case, it is better to wait for the chart to exit the triangle, then we will have a clearer picture of the direction of the price movement.
This post is only for educational proposes and does not provide financial advice.
We are looking on the 1H chart and 'what a surprise' a triangle was formed.
I'm expecting strong volatility in the next few days, there are several reasons for this:
1) The upward movement will cross 200 MA (1H), which will allow the chart to exit the downward channel, reach the level of 9700 (0.618 Fibonacci) and thereby interrupt the downtrend.
2) The downward movement will open the way to the level of 9050 (0.236 Fibonacci). You can see how strong was a resistance in the previous attempt to cross this level. Moreover, this level is close to the boundaries of the rising channel (real turbulence zone). Bears will need a large volume to form a strong impulse to make a break and to continue the downward movement.
In this case, it is better to wait for the chart to exit the triangle, then we will have a clearer picture of the direction of the price movement.
This post is only for educational proposes and does not provide financial advice.
Comment:
The chart made a break. Now there is a high possibility to rich the level of 9050.