Within minutes of publication the little dynamic support line that had held upyesterday's rally was broken, flipping IOTA
from positive back to negative on a dime. Stops for longs were running up under the parallel as price moved north. Well it
was good whilst it lasted but once that little dynamic was lost we can see the damage done. That stop was at around 4598
when the parallel was finally lost, so by using this method of exit on longs the vast majority of the rally was locked in and
no real damage has been done. We live to fight again from lower levels now...
Iota is now trying to base out at 3037 by look of chart but is likely to have a problem at the tangled mass of resistance just
above here, where fixed and dynamics meet...no way do we get long again here until that has been beaten through...it
has to get back above the upper parallel, now around 3400 and survive any retst of that parallel from above once broken
to trigger next long from here. Maybe we will get a better entry long from lower down still...need to watch this and look
for potential /loss of downside momentum at 3037 for fist clue we have a low forming now...if it fails here
we stand back looking to see if 2.865 offers support - if not it means 2.172 is the next level to look for a buying opprtunity.
So we are left with 4 potential entry points here: at 3400 ish on a break of the upper parallel with stops kept under the
parallel by 50 points or more. Or at a potential yet-to-be-decided at 3037
And should this fail to hold from 2.865 or at lowest from 2.172 if we see it.
That's a little complicated but covers the levels. The easiest will be the break above the upper parallel. It should attract
quite a lot of buyers as well as shorts closing down/buying back too. watch it and follow when the signal is given on the
chart. Use stops though. Yesterday should have taught you that by now. Lesson learned.