6850 proved some better resistance for now as the market backed off again; bulls just could not get a higher high going but is was close. This implies that bearish momentum seems to lose some ground here.
Also, the current setback seems to lose some steam as we saw there sessions with less conviction (a hammerlike session and a near doji). The question is if bulls can set a higher low now followed by a move over 6850 resistance. If they can, an inverted head and shoulders pattern is confirmed and a rise toward 8000 is implied (height of pattern (A) + neckline = target (B))
So, watch closely if some strenth can be seen today; if not, the lower Bollinger Bands line around 5935 can see another higher low chance. All in all, one might see a nice risk/reward opportunity here.
Also, the current setback seems to lose some steam as we saw there sessions with less conviction (a hammerlike session and a near doji). The question is if bulls can set a higher low now followed by a move over 6850 resistance. If they can, an inverted head and shoulders pattern is confirmed and a rise toward 8000 is implied (height of pattern (A) + neckline = target (B))
So, watch closely if some strenth can be seen today; if not, the lower Bollinger Bands line around 5935 can see another higher low chance. All in all, one might see a nice risk/reward opportunity here.