The metal is inside a falling channel, we had two rejections already on the top of the trendline, the 13th Oct upside impulse is already invalidated and rejected resulting in a downside impulse. The oulook looks defintely down, but how to enter? Where to put stops? A 300 pip stop above the trendline may not be so attractive to most traders. We can predict two scenarios how the price will go down, first we slowly and boringly correct up towards the top trendline and get a quick rejection, a quick rejection will almost always be a news event, the other scenario is we continue impulse down without a correction, if so a lower timeframe during peak time will confirm an early entry. If price were to break the channel up which currently looks unlikely the idea will be invalid.
Comment:
price corrected towards top trendline and is falling as we have expected
