As rules stated for a support to be strong enough to establish a bottom:
Supports become stronger under these following conditions:
1. Strong Support (Long-Term TF), hence weekly chart.
2. The greater the volume of trading in a support zone the stronger it becomes.
3. The taller the support range is, the stronger it becomes.
4. The longer a support area - its length of time or the number of hits it took - the stronger it becomes.
-Dr. Alexander Elder (The New Trading For a Living)
Ranging between 6.4k to 6.7k at the moment.
Price grinding to the apex volume should be lower and lower.
Weekly RSI staying above 40 signifying longer term bull trend have not been broken yet.
Next move wins. My bet is up.
Let's see how this chart age.
Supports become stronger under these following conditions:
1. Strong Support (Long-Term TF), hence weekly chart.
2. The greater the volume of trading in a support zone the stronger it becomes.
3. The taller the support range is, the stronger it becomes.
4. The longer a support area - its length of time or the number of hits it took - the stronger it becomes.
-Dr. Alexander Elder (The New Trading For a Living)
Ranging between 6.4k to 6.7k at the moment.
Price grinding to the apex volume should be lower and lower.
Weekly RSI staying above 40 signifying longer term bull trend have not been broken yet.
Next move wins. My bet is up.
Let's see how this chart age.
Comment:
This is a long-term look. I am saying that I believe this whole chart going to ultimately move up instead of breaking down below 5800. However, just like everything in trading, there's a chance to be wrong. So make sure to have a protective stop in place so you will not be taking a devastating loss.
Comment:
Slight Correction: firesell range 3k - 4.9k not 1.9k