📉 Bearish Divergence Identified
🔍 Element Observation
Price Action Price made higher highs (local swing tops increasing slightly).
RSI (bottom) RSI made lower highs (momentum decreasing).
Type Regular bearish divergence — a classic early warning of weakening trend.
🧠 Interpretation
This type of divergence often signals that:
Bullish momentum is fading, even though price continues to rise.
A short-term correction or reversal is likely, especially when divergence occurs near resistance.
Your highlighted short zone (red box) near $109,078–109,399 aligns with this perfectly.
🟣 Context Favoring Short Bias:
Factor Status
RSI Divergence ✅ Bearish (momentum weakening)
Price Structure ✅ Lower high forming
EMAs ✅ Rolling over / flattening
Rejection Zone (Pink Box) ✅ Price failing to hold above
Key Support Below ✅ $108,061 – 107,830 region
📊 Summary
Bias Short-term Bearish 📉
Reason Bearish divergence + lower high + resistance
Target $108,061 (minor support) → $107,830 (key level)
Invalidation Break above $109,400 and hold
🔍 Element Observation
Price Action Price made higher highs (local swing tops increasing slightly).
RSI (bottom) RSI made lower highs (momentum decreasing).
Type Regular bearish divergence — a classic early warning of weakening trend.
🧠 Interpretation
This type of divergence often signals that:
Bullish momentum is fading, even though price continues to rise.
A short-term correction or reversal is likely, especially when divergence occurs near resistance.
Your highlighted short zone (red box) near $109,078–109,399 aligns with this perfectly.
🟣 Context Favoring Short Bias:
Factor Status
RSI Divergence ✅ Bearish (momentum weakening)
Price Structure ✅ Lower high forming
EMAs ✅ Rolling over / flattening
Rejection Zone (Pink Box) ✅ Price failing to hold above
Key Support Below ✅ $108,061 – 107,830 region
📊 Summary
Bias Short-term Bearish 📉
Reason Bearish divergence + lower high + resistance
Target $108,061 (minor support) → $107,830 (key level)
Invalidation Break above $109,400 and hold
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.