will consider the shorter term as well as comment on previous price action.
The Aggressive Short Term Short 1 was reacted to and sold back down to the original entry price and then aggressively bought up to the next reaction Short Term Short 2 which has been aggressively sold. This chart illustrates an important concept in successful Long Term trading; the need to know the reaction at shorter time-frames to the levels identified on larger time-frames.
Looking at the original chart, it is quite obvious that the 1st short after such aggressive buying at a LT Swing Long constitutes a trade only for the most nimble and aggressive short traders. The momentum is definitely on the Long side since the 2nd test of the LT Swing Long for reasons stated in the original analysis. Typically, the 2nd counter-trend setup is more reliably reacted to by a greater number of counter-trend traders than the first level. That is what is now occurring,
Price is now reacting to the first intraday long on this time-frame and is correctly identified as an Aggressive Long. In our opinion, only nimble, aggressive very short term traders should consider this entry level as all LT Swing Long traders and investors entered in the area of the 2nd retest identified by the green area on the chart. Price will have to retest lower pullbacks before most LT Swing Long investors and traders will consider adding to their positions.
Our analysis has identified a retest of 1.28 in the event that the 1st target of the Aggressive Long is not reached.