META: A Dangerous Inflection Point! (D&H Chart Analysis).Daily Chart (Left)
Ascending Channel: The price has been trending within an ascending channel, indicating a strong upward trend that has held for a considerable period.
Double Support Area: There is a critical support zone at $561.52, marked by both horizontal support and the lower trend line of the ascending channel. This convergence of support points suggests that this level is pivotal for maintaining the current trend.
Price Reaction: Recently, the price tested the support area and rebounded, but it is still below the 21-day EMA.
Hourly Chart (Right)
21-Hour EMA Resistance: The price recently encountered resistance at the 21-hour EMA as well, which may act as a short-term barrier for further upward movement.
Pullback Zone: The recent dip tested the support area around $561.52, validating it as a strong inflection point. The price is now attempting a recovery from this support level.
Conclusion:
The $561.52 level is crucial for both bullish and bearish traders. If the price maintains above this zone, there could be potential for a rebound and continuation within the ascending channel. Conversely, failure to hold this support could lead to a bearish reversal or deeper correction. Keeping an eye on the reaction to the 21-hour EMA will provide clues for short-term movement.
For more detailed technical analyses and insights like this, be sure to follow my account. Your support helps me continue providing valuable content to help you make informed trading decisions.
Remember, real trading is reactive, not predictive, so let's stay focused on the key points described above and only trade when there is confirmation.
“To anticipate the market is to gamble. To be patient and react only when the market gives the signal is to speculate.” — Jesse Lauriston Livermore
All the best,
Nathan.
