Wow, would you look at that price action. The last analysis reported the following which we believe still holds very true: Price is more or less free to hit the daily supply area above at 1391.97-1366.80, but we must remember price will rarely just shoot straight there no matter how much we want It to! A retracement will likely follow which could see prices testing as low as the daily below at 1238.41-1254.85 before we see a touch of the aforementioned daily supply area above.
So recent price action should come as no surprise to anyone.
The market opened at 1337.83, and ever since it did, the sellers have hammered price down and down taking out multiple lows and even consuming the 4hr demand area seen at 1307.58-1315.67.
The sellers seem to hit a bit of a road block as they have been seen stalling around the low 1304.77, how long this will last, is really anyone’s guess! However we should not forget that price could effectively drop all the way down to daily demand at 1238.41-1254.85 before any big buying moves take place (marked on the 4hr chart), we are not saying this will happen, we are merely stating one scenario to keep in mind.
If we see a break of the low 1304.77, which it looks like we are going to, price could likely drop all the way down to the 4hr S/D flip area at 1284.77-1280.53, as there is nothing to the immediate left of price action that poses much in the way of possible trouble demand areas.
Pending/P.A confirmation orders:
• The pending buy order (Green line) set just above demand (1307.58-1315.67) at 1316.64 has been stopped out.
• P.A confirmation buy orders (Red line) are seen just above the S/D flip area (1284.77-1280.53) at 1285.71. We have set a P.A confirmation buy order here simply because we could not find a logical area for the stop-loss order, so to avoid any deep spikes; we have decided to wait for confirmation.
• No pending sell orders (Green line) are seen in the current market environment.
• No P.A confirmation sell orders (Red line) are seen in the current market environment.
• Areas to watch for buy orders: P.O: There are currently no pending buy orders seen in the current market environment. P.A.C: 1285.71 (SL: (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).
• Areas to watch for sell orders: P.O: There are currently no pending sell orders seen in the current market environment. P.A.C: There are currently no P.A confirmation sell orders seen in the current market environment.