Not the price action we would choose for today, but it recovered sufficiently to stay in the trade. Price initially went down but found support at the confluence of the 50sma, 20sma, and the Trend Line. Then it continued back up to close right at the 8ema.
Stochastics are still below the overbought level. And the little downward channel that formed since the 6/8/20 swing high, could be a bullish flag.
It appears we lost the momentum from the BB/KC breakout. But its not unusual to have a retest of a major resistance area after breaking out through it. You can see, looking back to 5/28/20 and forward, we rejected off the the 50sma, then broke through it, and retested it today. We may get 1 or 2 more retests, but if price action continues in a typical manner, we should continue the upward progress, and it could happen as soon as tomorrow.
Of course, anything could happen, but at the moment the best thing to do is one of the hardest things to do, which is to do nothing.
No comments:
Post a Comment