HYG Round TopScaling in for a short position.
If it fails, cut immediately and move on.
What're your thoughts?
Roundtop
GOLD - Our Analysis Shows Probability Of A Pull Back to 1770 Even though gold is holding 1810 level and still above the critical support at 1790-1795 at the moment, our swing model may indicate that the bullish swing from 1750 could come to an end if gold does not have 2 to 3 consecutive closing days above the 200-day moving average at 1825 level. Above 1825, gold will test 1837-1845. But if gold breaks 1790-1795, gold can revisit the 1768-1772 support level.
ETHUSD - SMA 50 Rejections + Descending Trend LineETH Daily SMA 50 has been rejecting price advance quite consistently. With this many rejections at/or around the 50, and a down-sloping trend line approaching , one has to think that the Bearish response to any price advance beyond the Daily SMA 50 illuminates the path of least resistance to the downside.
Since the surge last Friday, any advance has been met with equal or greater selling pressure, and a lack of Bullish follow up. The pattern that may start to emerge is a Minor Round Top Reversal with the Daily SMA 50 , 100 and Downtrend Line set to tackle price action advance at the top right corner of the inverted u-shape.
If Bulls are going to find momentum, the probability of finding it at lower support levels is starting to look more appealing.
An argument can be made that the upward sloping Bullish sentiment is not quite ready to give up ground with a great deal of support coming from the Daily SMA 20, EMA 12, and 26 highlighted here. If price does escape the Bulls, it would first have to do so through EMA 12 and 26 (Something to keep an eye on - Averages on the 4-Hour Time frame have Price Action hugging EMA 12, and 26 as well as SMA 20, and 50 nearby - so far are acting supporters)
Daily EMA 12 @ 120.86
Daily EMA 26 @ 119.66
Daily SMA 20 @ 115.20
One thing is for certain, this one is going to be hard to gauge with the clash of averages coming together. Bears have managed to chip away at least one minor support line, and price action is about to run into decision making volatility.
Good Luck, Traders. May you find yourself on the profitable side of it.
Previous Post on Cluster of Downtrend Lines :
April Feeder Cattle continues downApril Feeder Cattle continued its progression lower off the Gartley pattern and stayed under the 20 day moving average. Looking for next low of 123.425. A round top has formed suggesting further lows. Largest potential move to 38.2 retracement. March Corn rose today. Tomorrow might see Corn 360'6.
