Analysis for swing traders: Current trend is up-down-up so next leg is down. Look for short continuation. Shadow provide potential turning point. This week high touched the lowest of a 4-line shadow so there is small initial reaction. Look for sell signal but no hurry to sell into an up week.
Analysis for day traders: Continue bullish with current white week candle. Proceed with care since price already near to potential TP zone. Late entrants no point to buy now since equal to long entry at resistance.
Follow explanation below.
Notes: Technical Analysis states that previous turning points offer future potential support resistance zones.
1. Attach a horizontal line at each turning point in the past 12 months on weekly chart.
2. These lines leave a shadow.
3. Shadows are not evenly dispersed but tend to be clustered.
4. When multiple shadows confluence in a tight range, there is a dark shadow which will provide strong support resistance.
5. Look for dark shadow to offer next turning point.
6. Price will move quickly through empty spaces or bright areas.
7. Entry signal on day close.
Analysis for day traders: Continue bullish with current white week candle. Proceed with care since price already near to potential TP zone. Late entrants no point to buy now since equal to long entry at resistance.
Follow explanation below.
Notes: Technical Analysis states that previous turning points offer future potential support resistance zones.
1. Attach a horizontal line at each turning point in the past 12 months on weekly chart.
2. These lines leave a shadow.
3. Shadows are not evenly dispersed but tend to be clustered.
4. When multiple shadows confluence in a tight range, there is a dark shadow which will provide strong support resistance.
5. Look for dark shadow to offer next turning point.
6. Price will move quickly through empty spaces or bright areas.
7. Entry signal on day close.