The price bounced just above the MA100 for a good short term trade and will probably reverse to the downside again after reaching the major trend line or the 50MA between 7k and 7k4.
I do not think the bounce was strong enough to take us higher than that or that the bear market is over.
Once we start coming down we will either move slowly and reverse around the 100MA and 5k support (blue arrow) or
we will get to 5k quite quickly and bounce back to the downtrend line before heading to the 200MA around the 3k or 4k supports (red arrows).
Both scenarios should line up well with a cross of the MACD and the oversold area of the RSI.
I doubt it but if we break below the 200MA we could see a sharp decline to some where around the 1300 or even 850 support.
I do not think the bounce was strong enough to take us higher than that or that the bear market is over.
Once we start coming down we will either move slowly and reverse around the 100MA and 5k support (blue arrow) or
we will get to 5k quite quickly and bounce back to the downtrend line before heading to the 200MA around the 3k or 4k supports (red arrows).
Both scenarios should line up well with a cross of the MACD and the oversold area of the RSI.
I doubt it but if we break below the 200MA we could see a sharp decline to some where around the 1300 or even 850 support.
Comment:
Looks like the blue line might play out, unless we can get a close above the down trend line and 6800.
Comment:
Obviously the etf news sent the price higher than expected. We are most likely going to see 5000 close to the end of this triangle but before that happens I see 2 possible options here:
1. We hold the top of the triangle and see a small jump up before re-testing the 5800 support and another small jump up before coming down to 5000 or just above it.
2. We break down to 5800 (could possibly come after staying at this current level for a few days) and get a slightly bigger jump up and then come down to briefly test 5800 or even a bit lower before dropping to 4.9-5k.
1. We hold the top of the triangle and see a small jump up before re-testing the 5800 support and another small jump up before coming down to 5000 or just above it.
2. We break down to 5800 (could possibly come after staying at this current level for a few days) and get a slightly bigger jump up and then come down to briefly test 5800 or even a bit lower before dropping to 4.9-5k.