ZRX broke a downtrend channel in an uptrend (yellow lines)
After yesterday's declines, we tested the resistance line (red), such testing is a bullish signal and confirmation of increases. It is quite a key place because it is connected with the lower limit of the uptrend and the average (orange) trend.
As I can see it now: the ZRX is going to be gaining momentum and at some point it will go very steep. This is confirmed by the Choop index which is close to the values signaling strong movement. Which side the market will decide, but taking into account the sentiment on the market, for me it is 9/1 for increases.
It remains to wait for this moment of a solid breakout.
After yesterday's declines, we tested the resistance line (red), such testing is a bullish signal and confirmation of increases. It is quite a key place because it is connected with the lower limit of the uptrend and the average (orange) trend.
As I can see it now: the ZRX is going to be gaining momentum and at some point it will go very steep. This is confirmed by the Choop index which is close to the values signaling strong movement. Which side the market will decide, but taking into account the sentiment on the market, for me it is 9/1 for increases.
It remains to wait for this moment of a solid breakout.