Hi Guys,
I posted previously regarding the bullish outlook I have on this pair.
Currently price is in a pretty strong resistance by the way of three downward sloping trendlines marked on the messy chart, as well as a pullback into the fib golden zone from its most recent swing high. The main black trendline is the one that will lend more weight to a breakout to the upside if it can crack through this area.
I've outlined a few possible scenarios from this point (none of which may happen, but as traders we don't have a crystal ball and anticipation and forward preparation is a very necessary part of this game). Firstly if this pair moves down from here a possible inv HS could form below which would see another contraction in the VCP (volatility contraction pattern that is shaping up and the scenario I would most like to see). If price does move on up from here there is a harmonic bearish bat pattern that end in line with the resistance area (blue box) and direct horizontal resistance where price has had trouble moving past and we could see another move down before breaking through that area.
Of course if we were to close to a new low below the current bottom then everything becomes null and void and I would reconsider my bullish outlook for this pair.
I have opened long position on this pair so I will likely make new posts as things progress.
Safe trading all.
I posted previously regarding the bullish outlook I have on this pair.
Currently price is in a pretty strong resistance by the way of three downward sloping trendlines marked on the messy chart, as well as a pullback into the fib golden zone from its most recent swing high. The main black trendline is the one that will lend more weight to a breakout to the upside if it can crack through this area.
I've outlined a few possible scenarios from this point (none of which may happen, but as traders we don't have a crystal ball and anticipation and forward preparation is a very necessary part of this game). Firstly if this pair moves down from here a possible inv HS could form below which would see another contraction in the VCP (volatility contraction pattern that is shaping up and the scenario I would most like to see). If price does move on up from here there is a harmonic bearish bat pattern that end in line with the resistance area (blue box) and direct horizontal resistance where price has had trouble moving past and we could see another move down before breaking through that area.
Of course if we were to close to a new low below the current bottom then everything becomes null and void and I would reconsider my bullish outlook for this pair.
I have opened long position on this pair so I will likely make new posts as things progress.
Safe trading all.