Global trend. Let's start by identifying the global trend. The weekly chart shows that the global trend is upward and consists of 3 primary trends.
Period | Duration | Start | End
#1 Apr ‘13 - Dec ‘17 | 56M | 100 | 19000
#2 Dec ’17 - Jul ‘20 | 31M | 19000 | 9600
#3 Jul ’20 - Today | 16M | 9600 | 67000
Now the quotes are near the top, but the rule says that the trend will continue rather than change.
The primary trend #3 consists of 3 middle trends:
Period | Duration | Start | End
#1 Sep ‘20 - Apr ‘21 | 8M | 10000 | 65200
#2 Apr ’21 - Jul ‘21 | 4M | 65200 | 29000
#3 Jul ’21 - Today | 5M | 29000 | 67000
Middle trend #1 developed according to the "deferred movement" model (0A = BC) and ended with the "head and shoulders" reversal model. Middle trend #2 ended with a bullish wedge. Middle trend #3 is also a "deferred movement" (0W = XY).
At the level of middle trends, many classical models have been recognized, which is a good reason to continue using technical analysis.
Middle trend #3 contains a “bullish triangle” formation at the half of the movement, which is a classic example of a continuation model that is formed at the half of the movement.
At the top of the trend, a continuation model "inverted head and shoulders" was formed, which turned out to be unrealized (false).
Upon closer examination, we will meet another unrealized "head and shoulders" model.
We see an unrealized reversal pattern “head and shoulders”, which is a strong bullish signal.
I guess the quotes will go up to resistance #3, overcoming resistance levels 1 and 2.
Thanks for reading. I will be glad of your comments and observations.
Best regards.