I chose the daily timeframe; however, it is labeled to reflect 60 min, 240 min TF as well. This is useful because you can begin to appreciate how accumulation and distribution of different timeframes influence others.
2016 started with "preliminary supply" (PSY) followed by the Feb "selling climax" (SCLX). The subsequent "automatic rally" or "dead cat bounce" marked a "stopping action to the end of the Markdown following Distribution from 2015. The cumulative selling pressure leading into March did not break support because buyers were absorbing supply. This accumulation resulted in our April highs and "buying climax" (BCLX) and "upthrust after distribution" (UTAD). Following the distribution price breakdown into May where we find another smaller phase of accumulation.
It would appear that theses test and re-test are making up are larger scale 6 MONTH ACCUMULATION PHASE.
If price can hold $20 and close above the 8ema; I will consider a LONG into anticipated resistance at the 150/200 sma.
Good Luck.
2016 started with "preliminary supply" (PSY) followed by the Feb "selling climax" (SCLX). The subsequent "automatic rally" or "dead cat bounce" marked a "stopping action to the end of the Markdown following Distribution from 2015. The cumulative selling pressure leading into March did not break support because buyers were absorbing supply. This accumulation resulted in our April highs and "buying climax" (BCLX) and "upthrust after distribution" (UTAD). Following the distribution price breakdown into May where we find another smaller phase of accumulation.
It would appear that theses test and re-test are making up are larger scale 6 MONTH ACCUMULATION PHASE.
If price can hold $20 and close above the 8ema; I will consider a LONG into anticipated resistance at the 150/200 sma.
Good Luck.