Current Conditions:
1.) Apparent symmetrical triangle forming, with price action nearing a breakout.
2.) Volume dropping off.
3.) Price appears to be moving down within a channel. Linear regression line applied with standard deviations above and below for visual purposes.
Target:
In an effort to determine potential targets, segment AB was drawn at the opening of the triangle and placed at the apex. This gives a target around $6200. If we assume the path to follow the same path as segment XY, then this would lead to the target being reached some time within the next 12-24 hours. This would also coincide with the bottom of the channel formed by the linear regression.
1.) Apparent symmetrical triangle forming, with price action nearing a breakout.
2.) Volume dropping off.
3.) Price appears to be moving down within a channel. Linear regression line applied with standard deviations above and below for visual purposes.
Target:
In an effort to determine potential targets, segment AB was drawn at the opening of the triangle and placed at the apex. This gives a target around $6200. If we assume the path to follow the same path as segment XY, then this would lead to the target being reached some time within the next 12-24 hours. This would also coincide with the bottom of the channel formed by the linear regression.
Comment:
Alternately, it could follow the linear regression down to that low $6000's lever and get there in early February...
Comment:
Updated support and resistance lines. Targets moved up:
Trade closed: target reached