Price received an aggressive pull-back due to news release this afternoon 2018_01_25 (US session)
With that being said I don't believe the bulls are done just yet... A rally up towards the highlighted zone may complete a right shoulder in a head&shoulder pattern. The zone reflects possible stop losses placed for those who got in short early from the 20th of Dec. 2017 to the 3rd of Jan. 2018. It's also right above a 61.8 retracement on this daily chart from the high formed the 1st of Dec to the low on the 11th of Jan.
Also shown is a rising wedge - A bearish pattern showing price consolidation before a large drop occurs. I'd like to see this top form tonight/tomorrow!
Take profit is at the zone shown below - on a weekly chart we have a void candle that needs some filling. The zone has also acted as support/demand in the past and I will be looking to enter long.
As always good luck!
With that being said I don't believe the bulls are done just yet... A rally up towards the highlighted zone may complete a right shoulder in a head&shoulder pattern. The zone reflects possible stop losses placed for those who got in short early from the 20th of Dec. 2017 to the 3rd of Jan. 2018. It's also right above a 61.8 retracement on this daily chart from the high formed the 1st of Dec to the low on the 11th of Jan.
Also shown is a rising wedge - A bearish pattern showing price consolidation before a large drop occurs. I'd like to see this top form tonight/tomorrow!
Take profit is at the zone shown below - on a weekly chart we have a void candle that needs some filling. The zone has also acted as support/demand in the past and I will be looking to enter long.
As always good luck!