Whilst we could stay in this phase for quite a while longer I do think that we could be seeing a breakout within the next 1 to max. 2 weeks. It is however clear that the range is tightening, we also see a BB squeeze and some daily doji's, which could be pointing to the fact that decision time might be near and a breakout could be expected any day now!
On the 4H chart we see that the 200MA could be acting as dynamic resistance (possible rejection on 09-25).
With a beginning downtrend we often see the 100MA testing the 200MA before the trend continues so I will be looking to spot a possible 100MA bounce or small cross-and-back for signs of the downtrend continuation.
The daily is flat but below 50 which could also point to the fact that bears are in charge. I will also be looking for strong rejections of that 50 level.
With all this in mind I think that it will take a lot of power to stop this possible new long-term downtrend! I will therefor only look for short opportunities in the near future. But all is possible of course!!
The obvious first target below would be that weekly .
I have not included any trades on these timeframes since I cannot find setups with good enough R/R for the moment. I will therefor be looking at smaller timeframes for confirmation on the breakout direction and possible setups.
Happy trading to all!