Hello!
Price approaches the top of the declining channel, and what happens? Price starts breaking the rising channel to the downside...
In other words, the current rally looks like a counter trend wave, being the major trend a downtrend, as determined by the declining channel, which is the major one.
Therefore, it we get price action completely below the rising channel and if it's confirmed afterwards (maintaining the top of the declining channel intact), then I expect price to return to the base of the declining channel.
This has been my plan and, at least for now, it seems reasonable to keep following it.
Good trading!
Price approaches the top of the declining channel, and what happens? Price starts breaking the rising channel to the downside...
In other words, the current rally looks like a counter trend wave, being the major trend a downtrend, as determined by the declining channel, which is the major one.
Therefore, it we get price action completely below the rising channel and if it's confirmed afterwards (maintaining the top of the declining channel intact), then I expect price to return to the base of the declining channel.
This has been my plan and, at least for now, it seems reasonable to keep following it.
Good trading!
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mikeoakster
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