Bullish CypherPossible stop below 184 or where you see support.
Support occurs where a downtrend is expected to pause due to a concentration of demand. Resistance occurs where an uptrend is expected to pause temporarily, due to a concentration of supply. The more candles a particular level, the stronger that level becomes. Candle tails can point to support and wicks can show a resistance level. Support and resistance areas can be identified on charts using trendlines, candles and moving averages.
Short percent is 3.06% with 3.4 days to cover. An increase today, possibly due to the large move up. The shorties are planning on this pulling back some.
Up a bit today. Long entry level can be crucial to help hang.
Price fell from a bearish rising wedge and appears to have recovered.
Resistance overhead.
The Cypher harmonic pattern is a reversal pattern. Like other XABCD patterns, it has 4 legs. B retraces to an expansive range between 38.2 and 61.8 percent of XA, at least 38.2 percent, but not exceeding 61.8 percent.
C is an extension leg and goes beyond A so peak 2 is higher than peak 1. CD leg should land somewhere close to the 78.6 fib level percent level of XC.
The Cypher resembles the Shark. There are important differences between the 2 patterns and both have a bearish version that resembles a crooked W with an impulse wave/leg that goes down verses up. The Shark is labeled OXABC and peak 2 is higher than peak 1. The shark has no retracement rule for the 2nd leg except it can not go below O. The Shark has a potential reversal zone (PRZ) at the .886 but can reach the 1.113. If price reaches the 1.113, then C(the last leg) is below O.
The Cypher's final leg is measured using the entire structure, or the .786 of XC (not XA). The Shark's final leg is measured using the first leg, or OX.
Both are considered reversal patterns.
Most indicators, including candles, MACD, trendlines, patterns and moving averages are useless on their own. It is a good idea to listen to what the market environment and price is telling you.
No recommendation.
