After price recently broke a long term horizontal resistance, investors are now able to consider a long position after a successful retest. Breaking the and testing it as support is perfect for this trade. I believe now that the retest and new support retest has completed and the up move will now take place.
Price recently broke a long term , and retested it as a new and were successful. I believe that the bulls are now in control and will bring price to the high target on the chart, which is at the Fibonacci target at 647.65.
I am expecting price to hit target, however it could have a retest of the first. On the chart, I have outlined 2 different trading scenarios for the pair.
The likely scenarios are:
- Price will continue as it is, to the highs, after the at the resistance turned .
- Price will retest the level (Not breaking the previous low however) and then continue to the upside and achieve our extension target.
Bare in mind that this is my analysis, and you should only use this as a guide, and not as your own (Unless you are a signal subscriber then they are entirely applicable as you have my full trading plan on these already)
I have some advice that I give to my trading students, and that is "A chart is literally a graphical depiction of investors sentiment."
In other words for those who didn't understand- it means that the chart tells you all you need to know about the chart, the condition of trend, AND if the bulls or bears are in control.
If you look at the above chart and apply my above quote, you'll see how this quote is applied to the chart. This chart has everything we need to know to see this is a long trade (until invalidated by further action).
Over the weekend, I have posted multiple Cryptocurrency analysis. Please take a look at them and share your thoughts. I will also leave the Cryptocurrency ideas in the related ideas.
I will be updating this analysis as the trade progresses.