We mentioned that there is the $40 round number above which may cause resistance, but price has decided to
pull back which is normal after breaking out of consolidation.
The of the consolidation zone has now become support and we have to wait and see which direction price goes next.
If price returns back into the consolidation zone then we will have to stand aside from taking any trades.
If price bounces off the then we can look for a breakout trade.
Still bear in mind that the $40 psychological round number is above so the trade will have to be at break even before that point otherwise
it may be worth waiting for price to move past that zone then enter a breakout.
More updates to follow.
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