We have 4 hour 3-drive bullish divergence currently. Green and red boxes are liquid zones.
With all these targets, we have to take them level by level.
Target 1 is 8500
Target 2 is 8700
Target 3 is 8900. A daily close above 8900 will create a higher high on the daily timeframe, if this happens then we will likely retest weekly horizontal resistance at 9500. A weekly close above 9500 will create a weekly uptrend and start a new bull market
A 4 hour close below 8200 will lead to a support breakdown and likely to retest prior lows at 7700.
With all these targets, we have to take them level by level.
Target 1 is 8500
Target 2 is 8700
Target 3 is 8900. A daily close above 8900 will create a higher high on the daily timeframe, if this happens then we will likely retest weekly horizontal resistance at 9500. A weekly close above 9500 will create a weekly uptrend and start a new bull market
A 4 hour close below 8200 will lead to a support breakdown and likely to retest prior lows at 7700.
Comment:
Price rejected off the 21 EMA, meaning bullish divergence has likely played out
Comment:
I would exit longs and wait for clarity. Cannot short until we start closing candles below 8200, preferably open and close.
Comment:
Strong 4 hour close breaking 8500 resistance. Likely to test next resistance at 8700.
Comment:
All 3 targets hit.