On the weekly chart it seems a possible head & shoulders pattern is forming if we cannot break above 63 with increased bull volume to test all time highs.
Although price is holding above the 10/20/50 moving average nicely on the weekly with a nice spike in bull volume which could give it some momentum to test resistance at 63 and possibly breakout.
If we test resistance & bear volume starts to kick it heavy we could look for a short position with a stop above 63 and a target profit at moving average support. If the neck line is broken below 50 this will confirm a head & shoulders reversal.
Also I notices bearish divergence on the weekly RSI that should be taken into consideration. This means a possible downtrend or reversal is near due to the loss of momentum in the trend.
If we can break above 63 with increased bull volume we could potentially see all time highs.
I will be on the sidelines waiting for a break above 63 or a break below 50
What are your thoughts?
Although price is holding above the 10/20/50 moving average nicely on the weekly with a nice spike in bull volume which could give it some momentum to test resistance at 63 and possibly breakout.
If we test resistance & bear volume starts to kick it heavy we could look for a short position with a stop above 63 and a target profit at moving average support. If the neck line is broken below 50 this will confirm a head & shoulders reversal.
Also I notices bearish divergence on the weekly RSI that should be taken into consideration. This means a possible downtrend or reversal is near due to the loss of momentum in the trend.
If we can break above 63 with increased bull volume we could potentially see all time highs.
I will be on the sidelines waiting for a break above 63 or a break below 50
What are your thoughts?