Alright. Lets jump off last chart where we had finally broken through the resistance zone and we were looking to ideally hold EMA support or at minimum stay above our zone we have kept outlined since October. Bulls briefly lost EMA support but did managed to hold the top of our zone and find support. This has now led to our next leg up which on our 4 hour and Daily chart now has things trending in the right direction. A lot will get very excited for these times and it is the first steps of shifting trend but we also must zoom out and see bigger picture. Below is our weekly chart which has not changed its trend yet. We are still in a downtrend with lower highs and lower lows. Anything under $10,540 is still a lower high for weekly chart.
In my opinion that is a bit too far away for bulls to make a straight run at it and they will gas out before then. More realistic option is for a top below $10,540 which gives a lower high but then form a higher low compared to $6430 and then shoot for a higher high (above wherever we top out at on this run). That will get weekly chart shifting. If bulls fail and get a lower high compared to $10,540 and then sink back to lower lows then the weekly chart stays in the same trend it has been in since the summer, which is bearish. Those using the zone I have outlined since October should be trading very well as it has held as support and resistance as needed and made for low risk entries and exits multiple times now. So bulls can be excited for current situation on 4 hour and daily but keep a watch on the bigger picture of weekly chart next.
Just My 2 Sats!
In my opinion that is a bit too far away for bulls to make a straight run at it and they will gas out before then. More realistic option is for a top below $10,540 which gives a lower high but then form a higher low compared to $6430 and then shoot for a higher high (above wherever we top out at on this run). That will get weekly chart shifting. If bulls fail and get a lower high compared to $10,540 and then sink back to lower lows then the weekly chart stays in the same trend it has been in since the summer, which is bearish. Those using the zone I have outlined since October should be trading very well as it has held as support and resistance as needed and made for low risk entries and exits multiple times now. So bulls can be excited for current situation on 4 hour and daily but keep a watch on the bigger picture of weekly chart next.
Just My 2 Sats!
