From the chart, it is clear that the bearish sequence was broken when price made a new high above the prior swing high.
We now have a few reference points in the form of downsloping magenta pitchfork and upsloping green one.
A move past the upper parallel of the magenta fork would have bullish implications and price could then move to the middle green line. If this happens, a buy signal in the Point and Figure chart would be triggered and a new bullish sequence of higher highs and higher lows would be underway.
The other scenario is a failure in price and a fall below the recent low of 8002. This would mean continuation of the bearish trend upto 7750-7800 range.
Which scenario will playout? You guess is as good as mine, for the moment. We need more evidence from price to lean one way or the other
We now have a few reference points in the form of downsloping magenta pitchfork and upsloping green one.
A move past the upper parallel of the magenta fork would have bullish implications and price could then move to the middle green line. If this happens, a buy signal in the Point and Figure chart would be triggered and a new bullish sequence of higher highs and higher lows would be underway.
The other scenario is a failure in price and a fall below the recent low of 8002. This would mean continuation of the bearish trend upto 7750-7800 range.
Which scenario will playout? You guess is as good as mine, for the moment. We need more evidence from price to lean one way or the other
