On the long term view this index has made a bearish rally from the early days of February and made a low mid March, and a rally which looked impulsive, therefore we can conclude that the main trend is down.
According to the Elliot Wave Principle every motive rally has to be corrected to a specific fibonacci level, of which has been happening, price correcting in a form of a channel. It appears that the short term trend up seems to be loosing momentum exactly at the 78.6% fibonacci extension level which draws some attention to investors.
Price might drop significantly in the near future and this might happen faster than the side ways move we have been observing since mid March.
A happy trading to you all.
God Bless You.
According to the Elliot Wave Principle every motive rally has to be corrected to a specific fibonacci level, of which has been happening, price correcting in a form of a channel. It appears that the short term trend up seems to be loosing momentum exactly at the 78.6% fibonacci extension level which draws some attention to investors.
Price might drop significantly in the near future and this might happen faster than the side ways move we have been observing since mid March.
A happy trading to you all.
God Bless You.