Possible bullish wave in January
Updated
Based on last price movements I believe we might see a bullish wave in January to aim and retest 35000.
Here are some reasons to think about it:
-Price is currently lying on the upper line of the descending channel. A line that was broken a few weeks ago.
-Price has been forming a triangle for the last 10 days. We have seen this type of structure several times during the last year. Every time it happend, trend changed direction at least temporarily.
-There is a possible formation of a cypher (blue one): .78 fib happens to concur with 35k which is a level that has been rejected several times and could be a good entry for shorts aiming to new lows. Last year we saw a perfect cypher that worked out very well (red one)
-Lastly a possible ABCD could be taking shape as well:
This idea could be validated with good CPI numbers in January.
Here are some reasons to think about it:
-Price is currently lying on the upper line of the descending channel. A line that was broken a few weeks ago.
-Price has been forming a triangle for the last 10 days. We have seen this type of structure several times during the last year. Every time it happend, trend changed direction at least temporarily.
-There is a possible formation of a cypher (blue one): .78 fib happens to concur with 35k which is a level that has been rejected several times and could be a good entry for shorts aiming to new lows. Last year we saw a perfect cypher that worked out very well (red one)
-Lastly a possible ABCD could be taking shape as well:
This idea could be validated with good CPI numbers in January.
Comment
Possible scenario if the triangle breaks downside:Comment
Trade closed manually
I dont trust any upside movement more. Tomorrow CPI could complete a scary head and shouldersTrade active
Price broke out of the red wedge so I am considering a retrace to 33,5k levels. That could be the formation of an inverted H&S. If this is validated, then I would consider the idea of a double top at around 36k. That could happen in this trimester leaving a bearish outlook for the rest of the year. Comment
Comment
Selling pressure could continue until 32k
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