Today we are going to look at different times frame from the medium to the short term (W1 – D1 – H4 – H1)
Last weekly price action, triggered on a closing basis a “shooting star” which means a warning signal for a potential trend reversal !
Indeed, such kind of pattern should be considered as a negative point as this type of candlestick is formed when
a “security” opened, advanced significantly, but then closed the period near the open level again.
As mentioned, in my previous analysis (see related idea below), 2 scenarios could be seen and this week price
action will tell us which one will take place…
For the time being, low seen has been 59’505.
On this D1 time frame I would suggest to look at 2 important levels, which are the following :
UPSIDE : 63’000
DOWNSIDE : 59’000
A breakout of one of those 2 levels should trigger +/- a 3’000 points move, targeting respectively 66’000 (former highest D1 closing level) on the upside and 56’000 on the downside (38.2% Fib ret).
Clouds bottom, for the time being worked perfectly well as a support…
Nevertheless, the ongoing recovery has nearly reached the 38.2% Fib ret (@ 62’365) of the last downside correction (66’994-59’505) , high seen so far 62’223.
Looks like a lack of momentum !
Watch ongoing price action over the next coming hours.
Clouds resistance broken… BUT !!!
As mentioned on H4 analysis, the 38.2% Fib ret @ 62’365 has nearly been filled and do not forget, we are in a corrective price action move in a new bearish trend ; therefore, you should watch carefully also at the price action seen over the coming hour (s) to detect early signal of a reversal.
CONCLUSION :(ON SHORT TERM, INTRADAY BASIS)
A FAILURE TO HOLD ON H1 ABOVE TS , CURRENTLY @ 61’400 SHOULD BE SEEN AS THE FIRST WARNING SIGNAL FOR FURTHER DOWNSIDE WHICH WOULD BE CONFIRMED BY A FAILURE TO HOLD AND STAY SUSTAINABLY ABOVE THE BOTTOM OF THE CLOUDS & CLUSTER (61’000-60’800)
Have a nice week and all the best
All views expressed on my analysis are my own and do not represent the opinions of any entity, whatsoever with which I have been, I am now or I will be affiliated with. Any action you take upon the information on those analysis is strictly at your own risk and should not be considered as an advisory. The author assumes no responsibility or liability for any errors or omissions in the content of his analysis. The information contained is provided on an «as is» basis, with no guarantees of completeness, accuracy, usefulness or timeliness and without any warranties of any kind whatsoever, express or implied.