Last week the price doubled the expected move for the week (based on what the options market was pricing). We saw some violent move upward generating multiple gaps (breakout, runaway, and exhaustion), ending with a double top at the close of the week.
Given that the price ended Friday with exhaustion and a double top and add to that, that it is still within the range of the 281sh resistance (which it has touched about 5 times in the last year and a half) and that there is volume divergence.
I think there is a high probability that we might see a pullback to the magenta trendline before:
A) Continuing to go higher to the 286 level where it reversed in 2018
OR
B) If it breaks the magenta trendline, it could go back to the 260 - 262 level
Thoughts?
Given that the price ended Friday with exhaustion and a double top and add to that, that it is still within the range of the 281sh resistance (which it has touched about 5 times in the last year and a half) and that there is volume divergence.
I think there is a high probability that we might see a pullback to the magenta trendline before:
A) Continuing to go higher to the 286 level where it reversed in 2018
OR
B) If it breaks the magenta trendline, it could go back to the 260 - 262 level
Thoughts?
Comment:
Reversal candle on the 1-day time frame, expecting it to continue towards the magenta line.
