This week we are about 400 points from reaching the all time high. Since the middle of November the price action has made considerable structure of HH and HL. Starting in December, we saw LH and LL form which were broken last week Friday leading to a gap up. Previously gaps up indicate prices will move higher then fill in the gap later in the week. However, this gap up is occurring in an area that is very close to the all time high which acts as an area of supply/resistance.
My initial bias is for the all time high around 16700 to be tested this week, then for a massive sell off. My secondary bias is for the all time high to be test and for a HH to be made then we keep making highs until some bad news occurs or the market just stalls. My tertiary bias is for the gap to be filled this week and a major sell off to occur without testing the all time high.
My initial bias is for the all time high around 16700 to be tested this week, then for a massive sell off. My secondary bias is for the all time high to be test and for a HH to be made then we keep making highs until some bad news occurs or the market just stalls. My tertiary bias is for the gap to be filled this week and a major sell off to occur without testing the all time high.