While the pricey action remains dicey, we have a number of signals forming (but NOT confirmed) that a bottom could be forming.
On the daily, the range lows were pierced yesterday, but price bounced back above and closed with a wick through the low. This is a liquidity grab - called a bullish SFP (swing failure pattern). Generally this is a stop hunt, where someone pushed price below an obvious level to trigger shorts and liquidate longs (those become sell orders). This way they can make money and fill at a lower price. Whale games. But we need to now see the range lows hold.
On the daily, the range lows were pierced yesterday, but price bounced back above and closed with a wick through the low. This is a liquidity grab - called a bullish SFP (swing failure pattern). Generally this is a stop hunt, where someone pushed price below an obvious level to trigger shorts and liquidate longs (those become sell orders). This way they can make money and fill at a lower price. Whale games. But we need to now see the range lows hold.
scott.melker@texaswestcapital.com