Good morning, traders. Nothing has really changed from yesterday. I am still watching the same levels for up or down and still waiting for the H4 and H6 RSI indicators to cross above their resistances. Price has not moved definitively in either direction but it has continued to contract. Zooming out to the daily, we can see that the last three days have created smaller daily ranges within the previous day's range. This will invariably lead to a pop in whichever direction price breaks out. The possible Adam and Eve double bottom remains in play, as does the descending wedge whose resistance price is consolidating toward. Daily Stoch RSI is attempting a bullish cross in oversold and RSI has recently closed above its descending resistance and tested that resistance as support. The possible double bottom has also created a possible descending triangle, though based on volume it seems less likely than more likely at this time. The target of this triangle would be ~$7040.
The H1 RSI is currently pushing through its resistance but Stoch RSI is just about topped out. We need to see a good thrust up before Stoch resets but that means demand needs to show up. Supply has consistently shown itself between $9550 and $9750 for the past two days, while demand shows up between $9100 and $9400. On the positive side, the M15 and M30 Stoch RSI have been resetting without a lot of negative price reaction. So if we can see those lower TF Stochs reset then it's possible they might be able to lead the way to the pop up needed. Tomorrow is the FOMC announcement so it is possible that we could have more lackluster sideways action until that time.
For those interested in such things, the daily is printing a TD 9 today. This doesn't guarantee a reversal, but it is a pause in the trend direction that warns you that a reversal may be incoming. Combined with the significant demand that continues to show up at $9100, the possible double bottom, the descending wedge, and the flat correction that has already printed, as well as the hidden bullish divergence printing on the D3 and W1 TFs, it seems that the odds favor a move up. But, remember, no matter how good the chart looks there are no guarantees so adhering to strong risk management remains imperative. Anything else is just gambling, at best.
I will be live streaming this morning at 10 a.m. CST/3 p.m. UTC on youtube.com/TexasWestCapital where I will be discussing all of this in greater detail, answering questions, and more. So be sure to stop by!
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Be sure to hit the "thumbs up!"
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
You can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own. When you do, be sure to explore the other TFs to see what I'm watching on those TFs.
The H1 RSI is currently pushing through its resistance but Stoch RSI is just about topped out. We need to see a good thrust up before Stoch resets but that means demand needs to show up. Supply has consistently shown itself between $9550 and $9750 for the past two days, while demand shows up between $9100 and $9400. On the positive side, the M15 and M30 Stoch RSI have been resetting without a lot of negative price reaction. So if we can see those lower TF Stochs reset then it's possible they might be able to lead the way to the pop up needed. Tomorrow is the FOMC announcement so it is possible that we could have more lackluster sideways action until that time.
For those interested in such things, the daily is printing a TD 9 today. This doesn't guarantee a reversal, but it is a pause in the trend direction that warns you that a reversal may be incoming. Combined with the significant demand that continues to show up at $9100, the possible double bottom, the descending wedge, and the flat correction that has already printed, as well as the hidden bullish divergence printing on the D3 and W1 TFs, it seems that the odds favor a move up. But, remember, no matter how good the chart looks there are no guarantees so adhering to strong risk management remains imperative. Anything else is just gambling, at best.
I will be live streaming this morning at 10 a.m. CST/3 p.m. UTC on youtube.com/TexasWestCapital where I will be discussing all of this in greater detail, answering questions, and more. So be sure to stop by!
_____________________________________________________________
Be sure to hit the "thumbs up!"
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
You can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own. When you do, be sure to explore the other TFs to see what I'm watching on those TFs.
