I'd like to draw your attention to the recent price action. You can see that the 50 (in orange) was actually surpassed, but resistance was found at the green dashed , as well as the 78.6% retrace, and the falling dotted blue . So, what we have here is a convergence of several resistance levels, which are all strengthening this level as resistance. Furthermore, it's happening in the end portion of this structure, which is increasing the likelihood of a breakdown. Currently, the price action has actually fallen back below the 50 , and is trading slightly below the bottom of the flag. You have to understand, patterns sometimes morph into larger or more extended versions of the original. If you remember my analyses on the triangle formation in ETH, you will recall that a similar occurrence happened there. Now, could this pattern break to the upside, and be negated as a bear flag? Yes. There is a huge on the , that I've been talking about for a while now. The divergence makes me think that a bottom could be forming around here, but the overall formations are still . If you look at the falling blue dotted , you can see that there were two prior failures to get above it, and now we appear to be failing at it for a third time. Obviously, a break above that level would change things, but currently, it appears to be failing. The looks like it's trying to roll over, and is continuing fall, which corresponds to the normal action seen in a consolidation. The analysis is what it is. Don't forget, I'm the professor here! Remember to check yourself, before you question my expertise.
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***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
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