The price seems to be repeating itself, it looks like the price is forming a pattern which has already been played out before not very long ago. We could see that this pattern starts with an initial bearish push (overbought RSI), then the price bounce off the support level of the channel (oversold RSI), bearish retracement takes place after the bullish push from the bounce (RSI overbought). After the retracement we will see a bullish move towards the resistance level of the channel. I will update this idea if I see anymore signals about the future direction of this pair.
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Looks like the price is doing exactly what it was predicted to do. This is great news as it confirms the pattern further, the RSI has touched the oversold area, as we see the price move further down, now we would see if the price moves down to the second predicted point
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We should see the price retrace and then the price should start to gain momentum, hopefully the price is able to gain enough momentum and is able to push up towards the resistance level of the channel.Note
Looks like the retracement ended a little earlier than I had expected, but the price still seems to be pushing up towards the resistance level of the channel. It looks very likely that the price would test the resistance level.
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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.