FIBONACCI RETRACEMENT ZONE
Yesterday we threw a hammer right at support and I tweeted yesterday that it is bullish reversal signal.
Well today we got this huge bullish candle. This isn’t good for traders because now we are getting whipsawed left and right. Truth of matter is, MARKET has been in consolidation period to figure out which way it wants go.
Its not coincidence that we are slowing down right at FIB 38.2% level right now.
Possibly we might be forming a channel within that price point.
We Must Break this Zone for Bullish Confirmation
Until then, overall sentiment is BEARISH. Like I said again, we might be forming a small channel within that price point.
VOLUME IS VERY LOW DESPITE OF THIS MOVE so don’t get carried away with your bullish triggers.
[box_light]Possibly Forming a Crazy Channel[/box_light]
[box_dark] 7/3 Tuesday After Close[/box_dark]
We just broke 12900 recent resistance and completely broken Fibonacci Retracement Zone! This huge! this could set us up for great bullish run for about a week or so!
Next target 13300. Make sure you watch out for that short term resistance of 13035. I don’t think its a strong resistance but we could slow down there so make sure you watch that.
One flaw I see is [box_light]DECLINING VOLUME[/box_light]. Thats a concern for me. And because of that declining volume, i think that short term resistance of 13035 could play out and even turn when it hits it.
We might come back down to test that 12800 as support after hitting that short term resistance of 13035.
So be cautious about that. Let’s look at moving averages.
Moving Averages looks great! it is supporting this bullish move. 10,20, 50 all crossed and pointing up!
We just closed above 100SMA.
Everything looks great for bullish short trend here except the fact that volume has been declining.
let me know your thoughts!