QKC Important Move Ahead!I am going to explain key points below and after that you can easily decide the trend.
1. Monthly Resistance was rejected on 1st test at 111 sats. 1st test is 90 % of the time gets rejected and the same thing happened here.
2. Candles also got rejected at T2, Which was a trend line resistance. Upper Trend Line has been tested 5 times. Observe closely. I have mentioned the numbers above. 1 to 5. But it was 5th time on the trend line resistance not the Horizontal resistance. Test on Horizontal resistance was the 1st attempt that is why it was rejected. You see where i am heading towards! ( When Horizontal level and Diagonal level which is Trend line level is tested multiple times then it becomes weak. Here in this case, monthly level was tested 1 time but trend line was tested 5 the time so it pulled back.
Monthly Resistance Test = 1st Attempt (Rejection 90% of times)
Trend Line Resistance Test = 5th Attempt (Rejection due to 1st attempt of monthly test)
3. When it pulled back from monthly level it have to test the support level, which in this case is a zone between two daily levels from 96-89. Support 1 at 96, Support 2 at 89. As candle wicked past 96 and touched at 89, it came back to trend line support at 96 as well as daily support at 96.
Daily Support= 96 sats
Trend Line Support = 96 sats
4. Wait for new daily candle to form above daily level at 96 sats. If the candle forms above 96 sats, then it is going to test the monthly level at 111 sats again. But for that to happen, there must be an increase in volume, which is not happening right now, as well as MACD is showing downward movement. But wait for the new candle.
5. If new candle forme below 96 sats, then it is going to test the 89 support and may bounce back again. And we might see some consolidation until a large volume builds up and we test the monthly level.
Right now, The move looks bearish.
For Bullish = Increase in Volume, Rejection from 96 sat level >> Then it will be bullish.
