It appears that price action has developed into a secondary backtest of the support line for this re-accumulation phase. Negative momentum has also decreased with relatively low volume
as well. If positive momentum (according to the MACD
) and an increase in volume
occur, price action should decisively break to the upside through the lower-bound supply line of the channel which then becomes a demand line. RSI
is in a respectable position to make another run to the upside on both the 4hr and the daily timeframe
, less so on the weekly. Then we wait for JAC and BUEC. However, if negative momentum and an increase in volume
occur, price action will break to the downside, looking to retest the support line for this re-accumulation phase. If the support line is broken, then expect a push to the support line of the last re-accumulation cycle.