Both targets have come to fruition. What began as a nice play off the highs set in May has paid off nicely, with the index having traded lower in the past few weeks, just as was anticipated based on the technical chart setup, dropping more than 1,000 points off of the 25,245 high without panicking anyone, but consistently dropping without fail.
Now the markets are faced with a significant point in time.
A cluster of moving averages, which had previously enjoyed their life under the rising market conditions for weeks on end, are positioned just below current price levels, between the 23,860 to 23,925 range. These moving averages, however, are now being tested, as a retracement back off the recent highs finds us here.
The bulls require the market to remain above here. A strong bounce from here would suggest the sell-off was simply corrective in nature, rather than being an end itself. The bears, on the other hand, require this level to be taken out. If the price manages to close decisively below 23,500, the whole idea behind the support level becomes void and the discussion moves entirely in favor of the bears. There isn’t any other level of importance for buyers till we get down to around 22,000.
The problem for bulls in this regard stems from the absence of action. There haven’t been any solid closes, or statements from buyers showing their intentions in the market.
The cluster either saves them or it does not. Watch the close.
Now the markets are faced with a significant point in time.
A cluster of moving averages, which had previously enjoyed their life under the rising market conditions for weeks on end, are positioned just below current price levels, between the 23,860 to 23,925 range. These moving averages, however, are now being tested, as a retracement back off the recent highs finds us here.
The bulls require the market to remain above here. A strong bounce from here would suggest the sell-off was simply corrective in nature, rather than being an end itself. The bears, on the other hand, require this level to be taken out. If the price manages to close decisively below 23,500, the whole idea behind the support level becomes void and the discussion moves entirely in favor of the bears. There isn’t any other level of importance for buyers till we get down to around 22,000.
The problem for bulls in this regard stems from the absence of action. There haven’t been any solid closes, or statements from buyers showing their intentions in the market.
The cluster either saves them or it does not. Watch the close.
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Join PrimeXBT via the link below: go.appxbt.link/my6s/vf8j1cp5
Pubblicazioni correlate
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.