Looking at the daily time frame we could see the downtrend play in action with lower lows and lower highs being formed. But if we go up a timeframe
to the weekly and monthly time frame we could see that the overall trend is an uptrend.
On the other hand price could had broken the weekly uptrend structure and we are seeing the transition take place. After the structure was broken a retracement has is taking place. What does this mean ? On the weekly timeframe we are looking at a retracement at 38.2% at the same time that same 38.2% level is a daily retracement 78.6%.
We are waiting for a bearish reversal pattern to form on the 78.6% daily level for possibly sell order.
to the weekly and monthly time frame we could see that the overall trend is an uptrend.
On the other hand price could had broken the weekly uptrend structure and we are seeing the transition take place. After the structure was broken a retracement has is taking place. What does this mean ? On the weekly timeframe we are looking at a retracement at 38.2% at the same time that same 38.2% level is a daily retracement 78.6%.
We are waiting for a bearish reversal pattern to form on the 78.6% daily level for possibly sell order.
