The price action is been trading between trendlines and forming bullish candlesticks pattern at the bottom of trendline or resistance line. For past three days, it is been falling and formed a Three black crows bullish pattern. Now, it can move up tomorrow as shown in the chart to confirm the pattern as it is also previously done. Buying pressure at resistance trendline is high enough to take prices up. In case it fails to do it then I expect there is higher selling pressure than buying of it at current levels.
Lets look forward to tomorrow to unfold this mistry, any opinions are welcome. Regards
Shouldn't the black crows indicate a trend reversal only in an Uptrend and the opposite for white?
NeeteshJain
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@RaviTeja Yes, you are correct about it and I believe it shall have a breakout to downside once it get retraced to 166 levels. For a short term, it can be bought but overall it is showing weakness in price action.
UnknownUnicorn330774
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From March RSI was above 50 and had supported the uptrend. It is now below 50, I think it will support downtrend. Lets see the price action tomorrow..
NeeteshJain
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@Chetan.gosar Yes are correct about RSI and it is supporting downtrend. As you may see the above chart that the price action is trading below 20 EMA, indicates weakness. The green candlestick that I showed in above chart was a retracement candlestick that shall move to 160 to 166 levels before going down.