Of course in this crazy bull market, talking about reversal zones is always funny.
But well here it is.
If you believe in harmonic patterns, we have an almost perfect Bearish Crab, with an eye (B) between 38-50% of the dotcom krach. The subprime krach felt to 91% (very close to 88.6%)
And the PRZ (potential reversal zone) is at 161.8%, which is 7619 points.
If you're willing to trade it, one could wait for the prices to go slightly above 7619, and wait for a sharp fall from this level. A short entry would be below 7000 (trend line breakout) with a stop loss above the all time high.
Target would be ... very low.
Note : the pattern is quite huge, prices could touch 7800 without invalidate it. As long as it falls below 7619 after this.
But well here it is.
If you believe in harmonic patterns, we have an almost perfect Bearish Crab, with an eye (B) between 38-50% of the dotcom krach. The subprime krach felt to 91% (very close to 88.6%)
And the PRZ (potential reversal zone) is at 161.8%, which is 7619 points.
If you're willing to trade it, one could wait for the prices to go slightly above 7619, and wait for a sharp fall from this level. A short entry would be below 7000 (trend line breakout) with a stop loss above the all time high.
Target would be ... very low.
Note : the pattern is quite huge, prices could touch 7800 without invalidate it. As long as it falls below 7619 after this.