WLFI on the 8H timeframe is currently trading around 0.0539 inside the same descending wedge structure that has been compressing price since the May highs near 0.0760.
Price attempted a push toward the descending resistance near 0.0620–0.0640 in early June before being rejected and selling back toward the rising support trendline near 0.0540, which is now being tested directly for what appears to be the final time before the wedge reaches its apex.
The wick to 0.0512 on May 27 showed buyers defending the lower boundary aggressively, and the current test near 0.0540 is a similar setup.
Key Levels To Watch
0.0760 → Prior high, major resistance above
0.0620–0.0640 → Descending resistance trendline, overhead ceiling
0.0590–0.0600 → Horizontal resistance, mid-wedge zone
0.0555–0.0570 → Minor resistance, prior consolidation
0.0540 → Rising trendline support, current test
Below 0.0512 → Full breakdown, no support below
The wedge is at its absolute apex. The descending resistance is now sitting near 0.0620 while the rising support is at 0.0540, leaving only 0.0080 between the two boundaries.
A hold at the rising trendline near 0.0540 and a break above 0.0590–0.0600 would be the first sign the wedge is resolving to the upside, with a full break above 0.0620 confirming the bullish resolution toward 0.0680–0.0760.
A breakdown below 0.0540 and loss of the rising trendline would resolve the wedge to the downside and open room toward 0.0512 and new lows below.
This is the absolute final compression point.
Break above 0.0620 → wedge resolves bullish, eyes on 0.0680–0.0760.
Lose 0.0540 → breakdown confirmed, new lows below 0.0512.
Neutral inside wedge.
Bias only on confirmed breakout or breakdown.
Price attempted a push toward the descending resistance near 0.0620–0.0640 in early June before being rejected and selling back toward the rising support trendline near 0.0540, which is now being tested directly for what appears to be the final time before the wedge reaches its apex.
The wick to 0.0512 on May 27 showed buyers defending the lower boundary aggressively, and the current test near 0.0540 is a similar setup.
Key Levels To Watch
0.0760 → Prior high, major resistance above
0.0620–0.0640 → Descending resistance trendline, overhead ceiling
0.0590–0.0600 → Horizontal resistance, mid-wedge zone
0.0555–0.0570 → Minor resistance, prior consolidation
0.0540 → Rising trendline support, current test
Below 0.0512 → Full breakdown, no support below
The wedge is at its absolute apex. The descending resistance is now sitting near 0.0620 while the rising support is at 0.0540, leaving only 0.0080 between the two boundaries.
A hold at the rising trendline near 0.0540 and a break above 0.0590–0.0600 would be the first sign the wedge is resolving to the upside, with a full break above 0.0620 confirming the bullish resolution toward 0.0680–0.0760.
A breakdown below 0.0540 and loss of the rising trendline would resolve the wedge to the downside and open room toward 0.0512 and new lows below.
This is the absolute final compression point.
Break above 0.0620 → wedge resolves bullish, eyes on 0.0680–0.0760.
Lose 0.0540 → breakdown confirmed, new lows below 0.0512.
Neutral inside wedge.
Bias only on confirmed breakout or breakdown.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.