4 Theories being used:
1. Elliot Wave - it completed wave 1 / 2 / 3 / 4 / but on 5 it isn't able to get enough momentum to put up and hit the upper downward trend line because RSI and MACD didn't have a cross on their downward trend line.
2. MACD - downward trendline continue to hold strong and sellers are taking hold as you can see the distance between the red line and blue line gets larger indicating buyers are becoming less and less.
3. RSI - poked through the blue line but looks like the resistance was too strong. Due to Easter and markets closed on last Friday, the true trend wasn't given enough time to develop... which bring us to today's sell off as a result.
4. 200 EMA - perfectly lines up with my bottom pennant formation. Indicating even more that if we break through, it will go down.
Overall Prediction... Down we go if daily candle closes below the bottom trend line in the pennant to test 300 EMA.
1. Elliot Wave - it completed wave 1 / 2 / 3 / 4 / but on 5 it isn't able to get enough momentum to put up and hit the upper downward trend line because RSI and MACD didn't have a cross on their downward trend line.
2. MACD - downward trendline continue to hold strong and sellers are taking hold as you can see the distance between the red line and blue line gets larger indicating buyers are becoming less and less.
3. RSI - poked through the blue line but looks like the resistance was too strong. Due to Easter and markets closed on last Friday, the true trend wasn't given enough time to develop... which bring us to today's sell off as a result.
4. 200 EMA - perfectly lines up with my bottom pennant formation. Indicating even more that if we break through, it will go down.
Overall Prediction... Down we go if daily candle closes below the bottom trend line in the pennant to test 300 EMA.