Lit got clearly rejected when trying to get back in to the channel, see highlight. If support (upper green box) to be broken, downwards action expected. The pitchfork , in which the middle line is the median of the price action, might give some guidance in finding a new channel. when 1). reaching the bottom of the channel 2) near the support (BOTTOM GREEN BOX) and 3 bullish divergence on the RSI , that might be a strong buy signal.
when breaking the upper of the pitchfork , the schiffline (purple) needs to be broken to end the downtrend.
This scenario only makes sense if first support is to be broken
when breaking the upper of the pitchfork , the schiffline (purple) needs to be broken to end the downtrend.
This scenario only makes sense if first support is to be broken
