Ok the small wedge I described in my post of Apr 03 ($65.11) penetrated and broke to the downside. My target was $62.06 which was achieved on Apr 04.
Previous support at $64 was broken and the next 2 days were spent testing that level which was now providing resistance and this has held.
This suggests further downside bounded my the downtrend line (resistance) and a major uptrend line at low $60's.
I expect this to be tested within the next day or so. I expect it to be penetrated to the downside into my green rectangle, then to recover.
Failure to recover, opens up the next support area at $60
But one step at a time.
Plan A:
Add to short on retest of current resistance at $63.80 Close everything on break close above recent swing high $64.15 (including slippage). This will get me out with a small profit on my original position.
Ride the short to the uptrend line circa $62.40 and WAIT. Continue breathing.
On break close below trend add to short and ride into the rectangle.
Plan B :
If trend holds and bar moves higher, look for an exit, (pull back, pause etc.) Remember you still have a nice little profit. On to the Silver charts ...
Warnings:
Pin Bar, MACH Histogram forms a higher low, ADX Redline forms a lower high.
That trend line I have drawn connecting High of Feb 26 and Low of Apr 4. I believe that is going to be hit and that is my prime exit point!
Ok Help this helps with my concepts of classic technical analysis.
Thank you for your consideration and support
... just another 2c worth ...
Previous support at $64 was broken and the next 2 days were spent testing that level which was now providing resistance and this has held.
This suggests further downside bounded my the downtrend line (resistance) and a major uptrend line at low $60's.
I expect this to be tested within the next day or so. I expect it to be penetrated to the downside into my green rectangle, then to recover.
Failure to recover, opens up the next support area at $60
But one step at a time.
Plan A:
Add to short on retest of current resistance at $63.80 Close everything on break close above recent swing high $64.15 (including slippage). This will get me out with a small profit on my original position.
Ride the short to the uptrend line circa $62.40 and WAIT. Continue breathing.
On break close below trend add to short and ride into the rectangle.
Plan B :
If trend holds and bar moves higher, look for an exit, (pull back, pause etc.) Remember you still have a nice little profit. On to the Silver charts ...
Warnings:
Pin Bar, MACH Histogram forms a higher low, ADX Redline forms a lower high.
That trend line I have drawn connecting High of Feb 26 and Low of Apr 4. I believe that is going to be hit and that is my prime exit point!
Ok Help this helps with my concepts of classic technical analysis.
Thank you for your consideration and support
... just another 2c worth ...
