Reasons:
1. Fib retrace at 0.618 so upward movement expected now.
2. MAJOR resistance from the long term trend line and the MA lines.
3. If it can cross the trend line it also forms inverted head and shoulder pattern which will be reversal sign.
So, current expected retrace should actually push through the long term trend line and the moving average line (could be any thing above 4K now) to complete the inverted head and shoulder for bullish reversal.
1. Fib retrace at 0.618 so upward movement expected now.
2. MAJOR resistance from the long term trend line and the MA lines.
3. If it can cross the trend line it also forms inverted head and shoulder pattern which will be reversal sign.
So, current expected retrace should actually push through the long term trend line and the moving average line (could be any thing above 4K now) to complete the inverted head and shoulder for bullish reversal.
Comment:
May be above 4300?